Global Health Shares to List on NSE, BSE Tomorrow: The public issue of Global Health Ltd is set to get listed on Wednesday, November 16. Ahead of the market debut, shares of Medanta operator Global Health are available with a Rs 20 premium (GMP) in the gray market, revealed IPO Watch. The price band for the Global Health IPO has been fixed at Rs 319 to 336. This means the shares are expected to get a listing of somewhere around Rs 356 on debut.
Global Health received subscriptions over 9 times for its 4.67 crore shares IPO. Of the total, nearly 50 per cent of the shares were reserved for qualified institutional buyers (QIBs), 15 per cent for non-institutional investors and 35 per cent for retail investors. The lot size for the IPO was 44 shares amounting to Rs 14,784 at the upper band. A retail investor was permitted to bid for a maximum of 13 lots worth Rs 1,92,192.
With the finalization of allotment on November 11, the credit of the shares began on Monday and now the listing is slated to happen tomorrow.
The company aims to raise about Rs 2,206 crore from the issue. This includes Rs 500 fresh issue worth Rs 500 crore and an offer for sale (OFS) of close to 5.08 crore equity shares of the promoters. The proceeds from the public issue will be used to pay off the debts and for the usual purposes of the company.
Ahead of the public issue, Global Health had raised Rs 662 crore from anchor investors in exchange for 1.97 crore equity shares at Rs 336 apiece. The anchor investors included the likes of the 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.
Global Health Limited is the company behind the operations of one of the largest private multi-specialty hospital chains, Medanta, founded by renowned cardiovascular surgeon Dr Naresh Trehan.
It owns six hospitals under the brand name of Medanta and engages over 1300 doctors.
What Do Analysts Say?
Parth Nyati, Founder at Tradingo, said: “GHL is one of the largest private multi-specialty tertiary care providers. operating in the North and East regions of India and operating under the most popular healthcare brand, Medanta. The issuer has good patient volumes and cost efficiency, and its financial profile also shows an increasing trend. Nevertheless, the promoter shareholding would come down to 33 per cent post-IPO, Finally, the issue is fairly priced at a P/E of 43 as compared to the average industry P/E of 51.93. A muted listing would be expected because there was not much on the table for the investor in terms of valuation, less than standard subscription numbers, and the nature of the major proportion in this issue being OFS; the current GMP is Rs 20 around 6 per cent above its issue price. As a result, we were only assigned to long-term investors.”
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