Suraksha Clinic and Diagnostic IPO launched on November 29 aimed to raise Rs 846.25 crore by offloading promoters’ and other selling shareholders’ 1.92 crore shares. The IPO closes on December 03. The company’s IPO price band ranges between Rs 420 to Rs 441 per equity share.
Suraksha Diagnostics IPO Subscription status
The IPO has been booked 23% as of 1530 IST on December 02 i.e. day 02. The retail investors subscribed to the issue 0.42 times while NIIs didn’t show much interest, subscribing it 11%.
Suraksha Clinic and Diagnostic IPO GMP
The stocks of Suraksha Clinic and Diagnostics were neither fetching a premium nor a discount in the grey market. This indicates that the stock might list on the bourses at par with the issue price. The grey market is an irregulated place to trade shares ahead of listing.
Suraksha Clinic and Diagnostic IPO allotment and listing
The allotment for the Suraksha Clinic and Diagnostic IPO is expected to be finalised on December 4. While the listing on NSE and BSE will likely take place on December 6, as per the tentative schedule.
Minimum investment required
A retail buyer can apply for as minimum as one lot that contains 34 shares, amounting to Rs 14,994. There are different minimum requirements for small and big NIIs. A small needs a minimum investment of Rs 2,09,916 while a big NII needs Rs 10,04,598.
Expert’s take on Suraksha Clinic and Diagnostic
At the upper band, the company is valued at 99.3x its FY24 earnings along with being valued at 75.0x if we annualize FY25 earnings. Following the issuance of equity shares, the company’s market capitalization stands at Rs 2,296.76 crore, with a market cap-to-sales ratio of 10.5 based on its FY24 earnings. The diagnostic sector in which the company operates is highly competitive. Moreover, the company’s operations are confined to the eastern part of India, limiting the scope of its market. We believe that the issue is richly priced and recommend an “Avoid” rating to the IPO,” said Anand Rathi Research in an IPO note.
BRLMs and registrar
ICICI Securities, Nuvama Wealth Management, and SBI Capital Markets are the book-running lead managers of the IPO, while Kfin Technologies is handling the work of the registrar for the issue.
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