PremiumGlobal Health Limited, which is set to open its ₹2,206 crore initial public offering (IPO) on Thursday, 3 November, has ₹662 crore from anchor investors.
Medanta operator Global Health Ltd has decided to allocate 1.97 crore equity shares at ₹336 apiece, aggregating the transaction size to about ₹662 crore, according to a circular uploaded on the BSE website.
The anchor investors include--Government of Singapore, Nomura, Axis Mutual Fund (MF), HDFC MF, Aditya Birla Sun Life MF, SBI MF, ICICI Prudential MF, Kotak MF, Max Life Insurance Company and SBI Life Insurance Company are among the anchor investors.
The IPO consists of a fresh issue of equity shares aggregating to ₹500 crore, and an offer for sale (OFS) of up to 5.08 crore equity shares.
As part of the OFS, Anant Investments, an affiliate of private equity major Carlyle Group, and Sunil Sachdeva (jointly with Suman Sachdeva) will offload equity shares.
Global Health has set a price band of ₹319 and ₹336 per equity share of face value ₹2 each. At the upper end of the price band, the company is expected to fetch ₹2,206 crore through the IPO.
The issue will open tomorrow (3 November). The share sale of the multi-specialty tertiary care provider will close on Monday (7 November). The shares of Global Health Ltd are likely to be listed on the stock market (both the Bombay Stock Exchange and National Stock Exchange) on 16 November 2022. KFin Technologies Limited is the registrar of the public listing.
Half of the issue size has been reserved for qualified institutional investors, 35%for retail investors, and the remaining 15% for non-institutional investors.
Investors can bid for a minimum of 44 shares and in multiples thereof.
According to the company, proceeds from the fresh issue will be used to pay debt and for general corporate purposes.
Founded by Dr Naresh Trehan, a renowned cardiovascular and cardiothoracic surgeon, Global Health is a leading private multi-specialty tertiary care provider in the north and east regions of India.
Global Health, backed by private equity investors such as Carlyle Group and Temasek, operates a network of five hospitals under the 'Medanta' brand in Gurugram, Indore, Ranchi, Lucknow, and Patna. In addition, one hospital is under construction in Noida.
Upon operation of its Noida hospital in Fiscal 2025, the company's total installed beds are expected to exceed 3,500.
The company delivered a total income of ₹2,205.8 crore and a profit of ₹196.2 crore in FY22.
The Indian healthcare delivery industry is estimated to post a 13-15% CAGR between FY21 and FY26 driven by pent-up demand, strong fundamentals, increasing affordability, and Ayushman Bharat Yojana, according to a Crisil report.
Moreover, the country's bed density per 10,000 population is just 15 beds, which is below the global median of 29 beds.