Mumbai-based multi-specialty healthcare provider ABH Healthcare Limited has opened its initial public offering (IPO) for investors, with the company aiming to raise Rs 34.98 crore through the issue. The IPO opened on August 24 and will remain available for subscription until August 27.
The company’s shares are proposed to be listed on the NSE SME platform, giving investors an opportunity to participate in the growth of a healthcare-focused business. The IPO price band has been fixed between Rs 96 and Rs 102 per share.
The public issue comprises a fresh issuance of 34,29,600 equity shares. Investors can apply in lots of 1,200 shares, while retail investors will need to bid for a minimum of two lots, amounting to 2,400 shares. At the upper price band of Rs 102 per share, investors will require an investment of around Rs 2.45 lakh to subscribe to the minimum retail quota.
Ahead of the IPO opening, ABH Healthcare shares have reportedly attracted attention in the grey market. The company’s shares are trading at an unofficial Grey Market Premium (GMP) of around Rs 27 to Rs 30 per share. Based on the upper issue price of Rs 102, the premium suggests a possible listing gain of nearly 26.5 per cent to 29.4 per cent.
The grey market activity has created interest among investors, although market experts highlight that GMP trends are unofficial and do not guarantee the actual listing performance of a stock.
ABH Healthcare plans to utilise the funds raised through the IPO for strengthening its financial position and supporting future growth plans. Around Rs 17 crore from the proceeds will be used towards debt repayment or pre-payment.
The company also plans to allocate approximately Rs 5 crore towards meeting its working capital requirements. The remaining funds will be used for potential acquisitions and general corporate purposes.
The healthcare sector in India has witnessed significant growth in recent years, driven by increasing demand for quality medical services, specialised healthcare facilities and improved access to treatment. Companies operating in the multi-specialty healthcare segment are focusing on expanding services and improving operational capabilities to meet rising demand.
With its IPO launch, ABH Healthcare aims to raise capital to support its expansion plans while providing investors an opportunity to participate in its future growth journey.
The IPO will remain open for subscription until August 27, after which the company will announce the allotment details and move ahead with the listing process on the NSE SME platform.
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