The share price of NephroCare India rose dramatically on Friday following a robust reaction to its first public offering. Nephro Care shares were offered at ₹171 per share on the NSE SME, a 90% increase from the IPO price of ₹90.
Before the offering, Nephro Care India’s IPO GMP was ₹175 per share, representing a nearly 195% premium.
The Nephro Care India IPO is the first SME IPO to be listed since the National Stock Exchange (NSE) established a price control cap on SME IPO issuance prices during the pre-opening session last Thursday.
The NSE circular was effective on July 4, 2024
The NSE decided to place an overall cap of up to 90% on the issue price for SME IPOs to standardize the opening price discovery/equilibrium price across exchanges during the special pre-open session for the SME platform, according to the statement.
The IPO for NephroCare India began on June 28 and ended on July 2. The IPO allotment was finalized on July 3, and the IPO went live today, July 5th.
The price range for Nephro Care India’s IPO is ₹85-₹90 per share. The company raised ₹41.26 crore from a book-built issuance at the highest price range.
The Nephro Care India IPO was well-received, with 715.78 subscriptions. The retail category subscribed 634.12 times, the QIB category 245.14 times, and the NII category 1,787.19 times.
A collection of high-profile investors, including CCV Emerging Opportunities Fund – I, Persistent Growth Fund – Varsu India Growth Story Scheme 1, and Vikasa India EIF I Fund – Incube Global Opportunities, subscribed to the Nephro Care IPO anchor book.
Deepak Parekh-backed Nephro Care India Ltd is a comprehensive treatment center based in Kolkata. The hospital provides patients with a variety of clinical and lifestyle treatments, as well as treatment for renal insufficiency.
Nephro India successfully finished its pre-IPO investment round in December 2023, with the participation of banking veteran and former chairman of HDFC Ltd, Deepak Parekh, chairman of HDFC Securities Apart from Bharat Shah, Macleods Pharmaceuticals’ MD and founder Rajendra Agarwal is also mentioned.
