Suraksha Diagnostic IPO Day 2 Live Updates: The initial public offering (IPO) of Suraksha Diagnostic Ltd was 11% subscribed on the first day of the share sale, which took place on Friday. The portion allocated to Retail Individual Investors (RIIs) was 20% subscribed, while non-institutional investors received a subscription of 4%, according to data from the Bombay Stock Exchange (BSE).
On December 2, the public issue was booked 25% as investors bid for 34,00,068 or 34 lakh shares, compared to the 1,34,32,533 or 1.34 crore shares on offer. Retail investors booked 45 per cent of the shares on offer in their segment. The Non-Institutional Investors (NII) subscribed 13 per cent of their segment. However, the Qualified Institutional Buyers (QIB) section was left unsubscribed on the second day.
On Thursday, Suraksha Diagnostic Ltd, an integrated diagnostic chain, announced that it has raised ₹254 crore from anchor investors.
The initial share sale, valued at ₹846 crore, will close on December 3. Shares are priced between ₹420 and ₹441 each.
The Kolkata-based company’s IPO includes an Offer for Sale (OFS) of 19,189,330 equity shares, worth ₹846.25 crore at the upper end of the price range. This sale will be conducted by promoters and investor shareholders, with no new shares being issued.
Suraksha Diagnostic provides a comprehensive solution for pathology and radiology testing, as well as medical consultation services. This is facilitated through a broad operational network that includes a central reference laboratory, eight satellite laboratories, and 194 customer touchpoints. These touchpoints consist of 48 diagnostic centers and 146 sample collection centers, primarily operated as franchises, across West Bengal, Bihar, Assam, and Meghalaya, as of March 31, 2024.
Suraksha Diagnostic IPO Day 2 Live Updates: IPO bidding Day 2 ended with a flat response; issue booked 25% of the shares available.
Suraksha Diagnostic IPO Day 2 Live Updates: On the second day of the IPO, the public issue was booked 25% as investors bid for 34,00,068 or 34 lakh shares, compared to the 1,34,32,533 or 1.34 crore shares on offer.
Retail investors led the second bidding day, coming in at 45 per cent of the shares on offer.
The Non-Institutional Investors (NIIs) followed the retail bidders and subscribed to the IPO 13 per cent, compared to the shares available.
The Qualified Institutional Buyers (QIB) segment remained unsubscribed from foreign investors, domestic financial institutions and mutual funds, according to the data collected from BSE.
Suraksha Diagnostic IPO Day 2 Live Updates: Retail investors lead among three segments, booking 44% of the offer.
Suraksha Diagnostic IPO Day 2 Live Updates: Retail investors are leading among the three IPO segments, at 44% subscription for the shares on offer.
The segment has received a subscription of 29,73,538 or 29.73 lakh shares, compared to the 67,16,266 or 67.16 lakh shares on offer.
Suraksha Diagnostic IPO Day 2 Live Updates: Public issue booked 25% so far on Day 2
Suraksha Diagnostic IPO Day 2 Live Updates: The Suraksha Diagnostic IPO has been subscribed 25% on the second day of subscription today, at 4:18 p.m. (IST), as per BSE data.
Suraksha Diagnostic IPO Day 2 Live Updates: Issue booked 24% on second bidding day so far
The initial public offer of Suraksha Diagnostic IPO has been subscribed 24% on the second day of subscription today, at 15:33 IST, as per BSE data.
The initial share sale received bid for 31,57,444 shares against 1,34,32,533 shares on offer, according to BSE.
The portion for retail investors received 42% subscription while the quota for non-institutional investors got subscribed 11%. The qualified institutional buyers (QIBs) part is yet to be booked.
Suraksha Diagnostic IPO Day 2 Live Updates: Here’s all you need to know about financial performance
The company believes their dominant position and scale of operations have translated to their track record of profitability and financial performance. On account of their consistent financial performance, they believe they have a fairly unleveraged balance sheet as evidenced by their net debt to equity ratio. The company reported a CAGR in profit after tax and EBITDA of 5.38% and 6.22% between fiscals 2022 and fiscals 2024.
Suraksha Diagnostic IPO Day 2 Live Updates: Here’s what Swastika Investmart says about the issue
- The company provides pathology and radiology testing services, with revenue largely concentrated in West Bengal.
- Financial performance has been inconsistent, with a setback in FY23 but showing signs of recovery recently.
- The IPO is a complete offer for sale.
- Valuation appears aggressively high.
- Investors exploring this sector may find better opportunities among other listed players, making it advisable to avoid this IPO for now.
Suraksha Diagnostic IPO Day 2 Live Updates: Issue booked 23% on second bidding day so far
The initial public offer of Suraksha Diagnostic IPO has been subscribed 23% on the second day of subscription today, at 14:57 IST, as per BSE data.
The initial share sale received bid for 30,64,658 shares against 1,34,32,533 shares on offer, according to BSE.
The portion for retail investors received 41% subscription while the quota for non-institutional investors got subscribed 10%. The qualified institutional buyers (QIBs) part is yet to be booked.
Suraksha Diagnostic IPO Day 2 Live Updates: Check out competitive strengths of the firm
- Diagnostic chain in eastern India well positioned to leverage growth opportunity for organized diagnostic chains in the diagnostic services markets in eastern and north-eastern India.
- Track record of profitability and financial performance.
- Integrated diagnostics provider with one-stop solution offering pathology and radiology testing, and medical consultation services.
- Technologically advanced clinical infrastructure and trained personnel providing diagnostic services.
Suraksha Diagnostic IPO Day 2 Live Updates: Should you subscribe or not?
“Based on the company’s financials for FY24, P/E stands at 99x, the IPO appears fully priced, factoring in the near-term positive developments. While the company has promising growth potential in a rapidly expanding sector, its high valuation could pose risks in the short term. Clients with high risk-taking appetite may SUBSCRIBE to the issue for long term gains,” said Canara Bank Securities.
Suraksha Diagnostic IPO Day 2 Live Updates: Issue booked 22% on second bidding day so far
The initial public offer of Suraksha Diagnostic IPO has been subscribed 22% on the second day of subscription today, at 13:48 IST, as per BSE data.
The initial share sale received bid for 28,87,450 shares against 1,34,32,533 shares on offer, according to BSE.
The portion for retail investors received 39% subscription while the quota for non-institutional investors got subscribed 10%. The qualified institutional buyers (QIBs) part is yet to be booked.
Suraksha Diagnostic IPO Day 2 Live Updates: All you need to know about the firm
Established in 2005, Suraksha Disgnostic Ltd. offers a comprehensive suite of diagnostic services, including pathology, radiology, and medical consultations with a stronghold in eastern and northeastern India, the company has central reference laboratory, 8 satellite laboratories, 215 customer touchpoints, including 49 diagnostic centres and 166 sample collection centres.
Suraksha Diagnostic IPO Day 2 Live Updates: Sushil Financial Services highlights 5 key points to consider about the co
- Diagnostic chain with in eastern India well positioned to leverage growth opportunity for organised diagnostic chains in the diagnostic services markets in eastern and north-eastern India.
- Track record of profitability and financial performance.
- Integrated diagnostics provider with one-stop solution offering pathology and radiology testing, and medical consultation services.
- Technologically advanced clinical infrastructure and trained personnel providing diagnostic services.
- Commitment to quality driving high individual consumer business share and customer retention.
Suraksha Diagnostic IPO Day 2 Live Updates: Issue booked 20% on second bidding day so far
The initial public offer of Suraksha Diagnostic IPO has been subscribed 20% on the second day of subscription today, at 12:48 IST, as per BSE data.
The initial share sale received bid for 26,77,296 shares against 1,34,32,533 shares on offer, according to BSE.
The portion for retail investors received 36% subscription while the quota for non-institutional investors got subscribed 9%. The qualified institutional buyers (QIBs) part is yet to be booked.
Suraksha Diagnostic IPO Day 2 Live Updates: Here’s all you need to know about the market share of the firm
In FY2024, the company held a market share of 1.15% to 1.30% in the diagnostics services market in Eastern India, which is lower than peers such as Dr. Lal Pathlabs (5.30% to 5.70% in North India) and Vijaya Diagnostic Centre (2.20% to 2.50% in South India). This positioning reflects the company’s growth potential in an under-penetrated market
Suraksha Diagnostic IPO Day 2 Live Updates: Check out Sushil Financial Services views on the issue
Suraksha Diagnostic has built a strong reputation in the diagnostic sector in Eastern India and is scaling up with new centers opening. Looking at all the factors, risks, opportunities and valuation, investors with long term horizon and investors seeking exposure to healthcare sector can invest to the issue.
Suraksha Diagnostic IPO Day 2 Live Updates: Issue booked 18% on second bidding day so far
The initial public offer of Suraksha Diagnostic IPO has been subscribed 18% on the second day of subscription today, at 11:18 IST, as per BSE data.
The initial share sale received bid for 23,96,082 shares against 1,34,32,533 shares on offer, according to BSE.
The portion for retail investors received 32% subscription while the quota for non-institutional investors got subscribed 8%. The qualified institutional buyers (QIBs) part is yet to be booked.
Suraksha Diagnostic IPO Day 2 Live Updates: Check out financials of the Company’s Subsidiaries
According to JM Financial’s report, the financials of the Company’s subsidiaries have been consolidated in the Restated Consolidated Financial Information. This includes three subsidiaries that reported losses in fiscal 2024: Suraksha Salvia LLP, which incurred a loss of ₹10.70 million; Asian Institute of Immunology and Rheumatology LLP, with a loss of ₹1.32 million; and Suraksha Radiology Private Ltd, which lost ₹0.70 million. Any adverse financial performance of these subsidiaries will negatively impact the Company’s business, financial condition, results of operations, and future prospects.
Suraksha Diagnostic IPO Day 2 Live Updates: All you need to know about the total diagnostic centres
As of June 30, 2024, the company operated a total of 49 diagnostic centers. This included 13 hub centers and 36 ‘spoke’ diagnostic centers, comprised of 11 medium-sized centers, 23 small centers, and 2 centers operating under a public-private partnership (PPP) model.
Suraksha Diagnostic IPO Day 2 Live Updates: Check out some of the key risks
- The company’s projects are awarded through the competitive bidding process by government authorities/bodies. Company may not be able to qualify for, compete and win future projects, which could adversely affect business and results of operations.
- Company relies on in-house designing, engineering and construction teams for project execution. Loss of employee(s) may have an adverse effect on the execution of projects. Further, there have been certain instances of delay in the last three financial years in the payment towards provident fund and employee state insurance.
Suraksha Diagnostic IPO Day 2 Live Updates: Issue booked 14% on second bidding day so far
The initial public offer of Suraksha Diagnostic IPO has been subscribed 14% on the second day of subscription today, at 10:09 IST, as per BSE data.
The initial share sale received bid for 18,54,938 shares against 1,34,32,533 shares on offer, according to BSE.
The portion for retail investors received 25% subscription while the quota for non-institutional investors got subscribed 7%. The qualified institutional buyers (QIBs) part is yet to be booked.
Suraksha Diagnostic IPO Day 2 Live Updates: Check out the firm’s business strategy
1. Increase the number and scale of projects through prequalification.
2. Expand our geographical reach.
3. Develop plans to bid for Hybrid Annuity Model (HAM) projects.
4. Introduce new initiatives focused on “Waste to Energy” within our projects.
5. Take advantage of government policy initiatives in the Wastewater Treatment Plant (WWTP) and Water Supply and Sanitation Projects (WSSP) sectors.
Suraksha Diagnostic IPO Day 2 Live Updates: Here’s what Marwadi Shares and Finance says about the issue
“We assign “Subscribe” rating to this IPO as the company has in house designing, engineering and execution team, diversified Order Book of projects across India. Also, it is available at reasonable valuation as compared to its peer,” the brokerage said.
Suraksha Diagnostic IPO Day 2 Live Updates: Check out GMP ahead of the second bidding day
Suraksha Diagnostic IPO GMP today was ₹0, which meant shares were trading at their issue price of ₹441 with no premium or discount in the grey market according to investorgain.com.
‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
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