The Suraksha Diagnostic IPO is set to hit the market, offering investors an opportunity to participate in the growth of a leading diagnostics chain operating in eastern and northeastern India. With a robust track record, advanced technology, and a well-established presence in the healthcare sector, Suraksha Diagnostic Limited has garnered significant attention from investors. Here’s a comprehensive guide to the IPO details, timeline, and other key highlights.
Suraksha Diagnostic IPO Details
- IPO Date: November 29, 2024, to December 3, 2024
- Price Band: ₹420 to ₹441 per share
- Face Value: ₹2 per share
- Issue Type: Book Built Issue IPO
- Total Issue Size: ₹846.25 crore (entirely an Offer for Sale of 1.92 crore shares)
- Minimum Lot Size: 34 shares
- Listing: BSE and NSE
Suraksha Diagnostic IPO Timetable
| Event | Date |
|---|---|
| IPO Opening Date | November 29, 2024 |
| IPO Closing Date | December 3, 2024 |
| Basis of Allotment | December 4, 2024 |
| Refunds Initiation | December 5, 2024 |
| Credit of Shares to Demat | December 5, 2024 |
| Listing Date | December 6, 2024 |
Investment Details
Investors can apply for a minimum of one lot comprising 34 shares. Below is the breakdown of investment requirements for retail and high-net-worth individual (HNI) investors:
| Category | Lots | Shares | Investment (₹) |
|---|---|---|---|
| Retail (Min) | 1 | 34 | ₹14,994 |
| Retail (Max) | 13 | 442 | ₹194,922 |
| sNII (Min) | 14 | 476 | ₹209,916 |
| bNII (Min) | 67 | 2,278 | ₹1,004,598 |
Reservation Details
The IPO allocates shares for different investor categories as follows:
| Category | Shares Offered | Percentage |
|---|---|---|
| Anchor Investors | 57,56,797 | 30% |
| QIB | 38,37,867 | 20% |
| NII (HNI) | 28,78,400 | 15% |
| Retail | 67,16,266 | 35% |
Company Overview
Incorporated in 2005, Suraksha Diagnostic Limited operates as an integrated diagnostics service provider, offering pathology and radiology testing alongside medical consultancy services. With a central reference laboratory, eight satellite labs, and 215 customer touchpoints across West Bengal, Bihar, Assam, and Meghalaya, the company is a prominent player in its region.
Key Strengths:
- Comprehensive Services: Offers pathology, radiology, and medical consultancy under one roof.
- Technology-Driven: Utilizes advanced platforms like Laboratory Information Management System (LIMS), Radiology Information System (RIS), and Picture Archive Communication System (PACS).
- Growth in the Diagnostics Sector: Positioned to capture growth opportunities in the fragmented diagnostics market of eastern India.
- Experienced Management: A team with deep expertise in healthcare and diagnostics.
Financial Performance
Suraksha Diagnostic Limited has demonstrated consistent growth in its financials:
| Metric | FY23 | FY24 | Q1 FY25 |
|---|---|---|---|
| Revenue (₹ Cr) | 193.69 | 222.26 | 61.85 |
| Profit After Tax (₹ Cr) | 6.07 | 23.13 | 7.67 |
| Net Worth (₹ Cr) | 155.93 | 179.41 | 187.05 |
Key Performance Indicators:
- ROE: 14.09%
- ROCE: 21.46%
- PAT Margin: 10.57%
GMP and Listing Expectations
As of November 29, 2024, the Grey Market Premium (GMP) for the IPO is ₹0, indicating no significant movement in the unofficial market. The estimated listing price is expected to match the issue’s upper price band of ₹441 per share.
Lead Managers and Registrar
- Book Running Lead Managers:
- ICICI Securities Limited
- Nuvama Wealth Management Limited
- SBI Capital Markets Limited
- Registrar:
KFin Technologies Limited
Should You Invest in Suraksha Diagnostic IPO?
Suraksha Diagnostic Limited offers a compelling investment opportunity, given its strong presence in the eastern and northeastern markets, advanced technology adoption, and consistent financial performance. However, the valuation seems fully priced, leaving limited room for short-term gains. Long-term investors may consider this IPO, given the company’s expansion potential and sectoral growth prospects.
Expert Review:
Analysts have mixed opinions. While some recommend investing for the long term, others advise caution due to the IPO’s high valuation. Investors are encouraged to assess their risk tolerance and consult a financial advisor before investing.
FAQs About Suraksha Diagnostic IPO
1. What is the IPO price band?
The price band for the Grey Market PremiumGrey Market Premium is set at ₹420 to ₹441 per share.
2. How can I apply for the IPO?
Investors can apply through their broker platforms like Groww, Zerodha, Upstox, or directly via UPI-linked banking apps.
3. What is the GMP of Suraksha Diagnostic IPO?
As of now, the GMP is ₹0, indicating no premium in the grey market.
4. When will the shares be allotted?
The allotment date is expected to be finalized on December 4, 2024.
5. When is the listing date?
The shares are likely to be listed on December 6, 2024, on the BSE and NSE.
Conclusion
The Suraksha Diagnostic IPO presents an interesting proposition for investors, especially those looking for exposure to the growing diagnostics industry. While the company’s growth and technological advancements are promising, potential investors should weigh the high valuation against long-term growth opportunities. Stay tuned for updates on subscription status and listing performance!
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