Suraksha Diagnostic Secures Rs 254 Crore from Anchor Investors Ahead of IPO Launch

Suraksha Diagnostic Ltd has secured Rs 254 crore from anchor investors ahead of its initial public offering (IPO). The IPO is set to open for public subscription on November 29 and close on December 3. The shares will be priced between Rs 420 and Rs 441 each. The company, based in Kolkata, aims to list its equity shares on stock exchanges through this offering.

The IPO consists entirely of an Offer for Sale (OFS) of 19,189,330 equity shares, valued at Rs 846.25 crore at the top price band. Promoters Somnath Chatterjee, Ritu Mittal, and Satish Kumar Verma, along with investors OrbiMed Asia II Mauritius Ltd, Munna Lal Kejriwal, and Santosh Kumar Kejriwal, will sell their shares. As there is no fresh issue component, proceeds will go to the selling shareholders.

Anchor Investors and Market Capitalisation

Top anchor investors include Nippon India Mutual Fund, Kotak MF, Aditya Birla Sun Life MF, Quant MF, and Carnelian Bharat Amritkaal Fund. A total of 57.57 lakh equity shares were allocated to 16 funds at Rs 441 each, the upper limit of the price band. This allocation totals Rs 254 crore. At the highest price point, Suraksha Diagnostic's market capitalisation is estimated at around Rs 2,300 crore.

The company provides a comprehensive range of pathology and radiology testing services along with medical consultations. Its network includes a central reference laboratory, eight satellite labs, and 194 customer touchpoints. These consist of 48 diagnostic centres and 146 sample collection centres across West Bengal, Bihar, Assam, and Meghalaya as of March 31, 2024.

Operational Network and Testing Volume

In fiscal year 2024, Suraksha Diagnostic conducted approximately 5.98 million tests for about 1.14 million patients. The extensive operational network supports these services effectively across multiple regions.

The IPO reserves half of its size for qualified institutional buyers (QIBs), while retail investors are allocated 35%, and non-institutional investors receive the remaining 10%. ICICI Securities Ltd, Nuvama Wealth Management Ltd, and SBI Capital Markets Ltd are managing the book-running lead for the issue.

The equity shares are anticipated to be listed on both BSE and NSE on December 6. The company's decision to go public is driven by the benefits of listing its equity shares on stock exchanges and facilitating the OFS for selling shareholders.