Nephro Care India IPO Becomes First SME IPO To Exceed Rs 20,000 Crore Bids, Receives 715.7x Subscription

Nephro Care India IPO: The initial public offering (IPO) of Nephro Care India Ltd, which has been closed today, Tuesday, received a blockbuster response on the final day of bidding. Till 5:30 pm on the final day of bidding on Tuesday, the IPO received a 715.78 times subscription garnering 2,22,98,01,600 shares as against 31,15,200 shares on offer, according to the latest NSE data.

In terms of value, the Nephro Care India IPO saw bids exceeding Rs 20,000 crore, marking the first-ever SME IPO to achieve such a feat.

The quota for non-institutional investors received 1,787.19 times subscription while Retail Individual Investors (RIIs) portion got subscribed 634.12 times. The category for Qualified Institutional Buyers (QIBs) fetched 245.14 times subscription.

The Rs 41.26-crore IPO was opened for public subscription on June 28. The Nephro Care India IPO allotment will likely be finalised on July 3, while its listing will take place on the NSE SME on July 5.

Its price band was fixed at Rs 85-Rs 90 per share.

Nephro Care India IPO GMP Today

According to market observers, unlisted shares of Nephro Care India Ltd are trading Rs 165 higher in the grey market as compared with its issue price. The Rs 165 grey market premium or GMP means the grey market is signalling a 183.33 per cent listing gain from the public issue. The GMP is based on market sentiments and keeps changing.

‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.

Nephro Care India IPO: More Details

The Nephro Care India IPO is entirely a fresh issue of 45.84 lakh shares. Its price band was fixed at Rs 85 to Rs 90 per share.

Investors need to apply for a minimum of 1,600 equity shares and in multiples thereof. Hence, the minimum investment by retail investors would be Rs 1,44,000 (1,600 (lot size) x Rs 90 (upper price band)).

The company intends to utilise the proceeds towards setting up of multi speciality hospital in the name of ‘Vivacity Multi Specialty Hospital’ (unit of Nephro Care) at Kolkata (Madhyamgaram), West Bengal; and for general corporate expenses.

Nephro Care India Ltd, founded in 2014, is a comprehensive treatment centre located in Kolkata, offering a wide range of clinical and lifestyle solutions, as well as renal insufficiency treatment for patients. Nephro Care is supported by expert doctors, experienced paramedical professionals, and a skilled management team.

Corporate Capitalventures Pvt Ltd is the book running lead manager of the Nephro Care India IPO, while Bigshare Services Pvt Ltd is the registrar for the issue. The market maker for Nephro Care India IPO is Ss Corporate Securities.

Nephro Care India’s revenue rose 398.84 per cent and profit after tax (PAT) increased 19,920.41 per cent between the financial year ending with March 31, 2023 and March 31, 2022.