Healthcare chain Vijaya Diagnostic Centre on Thursday said it has fixed a price band of Rs 522-531 a share for its Rs 1,895-crore initial share-sale. The three-day initial public offer (IPO) will open for subscription on September 1 and conclude on September 3, the company announced in a virtual press conference.
The IPO is entirely an offer for sale of 35,688,064 equity shares by the promoter Dr S Surendranath Reddy and investors — Karakoram Ltd and Kedaara Capital Alternative Investment Fund-Kedaara Capital AIF I.
As a part of the offer for sale, Reddy will sell 50.98 lakh equity shares, Karakoram will offload 2.95 crore equity shares and Kedaara Capital will divest 11.02 lakh shares.
The initial share-sale will see stake dilution of 35 per cent by promoter and existing shareholders. At present, promoter and promoter group own 59.78 per cent shareholding in the company. This included Reddy’s 37.78 per cent stake.
Karakoram and Kedaara Capital hold 38.56 per cent and 1.44 per cent stake, respectively, in Vijaya Diagnostic. At the upper end of the price band, the initial share-sale is expected to fetch about Rs 1,895 crore.
Half of the issue size has been reserved for qualified institutional investors (QIBs), 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors.
Investors can bid for a minimum of 28 equity shares and in multiples of 28 equity shares thereafter.
Vijaya Diagnostic Centre offers a one-stop solution for pathology and radiology testing services to customers through its extensive network, which consists of 80 diagnostic centres and 11 reference laboratories across 13 cities and towns in the states of Telangana and Andhra Pradesh, and the National Capital Region and Kolkata.
ICICI Securities, Edelweiss Financial Services and Kotak Mahindra Capital Company have been appointed as investment bankers for advising the company on its IPO.
Earlier this month, Krsnaa Diagnostics raised a little over Rs 1,213 crore through its IPO.
Vijaya Diagnostic IPO: GMP
As per Mint, market observers suggest, Vijaya Diagnostics grey market premium (GMP) is in the range of ₹35-40. The grey market is an unofficial platform, wherein trading starts after the announcement of the IPO price band till the listing of the shares.
Vijaya Diagnostic IPO Details
|IPO Opening Date||Sep 1, 2021|
|IPO Closing Date||Sep 3, 2021|
|Issue Type||Book Built Issue IPO|
|Face Value||₹1 per equity share|
|IPO Price||₹522 to ₹531 per equity share|
|Market Lot||28 Shares|
|Min Order Quantity||28 Shares|
|Listing At||BSE, NSE|
|Issue Size||35,688,064 Eq Shares of ₹1
|Offer for Sale||35,688,064 Eq Shares of ₹1
(aggregating up to ₹1,895.04 Cr)