Co is one of the leading multi-specialty chain of hospitals in India (Source: F&S Report). Co’s hospitals are tertiary care hospitals, few of which also offer quaternary healthcare services to patients in various areas of specialisation such as orthopaedics, complex joint replacements, cardiology, neurology, oncology, and renal transplantations. As on the date, co provide inpatient and outpatient healthcare services through 11 operational hospitals with an aggregate bed capacity of 2,012 beds.
Co also provide outpatient services through 47 Outpatient Clinics and have ten shared surgery centres within third party hospitals, which it call “Shalby Arthroplasty Centre of Excellence” (“SACE”), where co offer orthopaedic healthcare services including surgeries. Since March 2007, co have conducted an aggregate of 92,100 surgeries, and provided healthcare services to an aggregate of 1,025,533 patients, consisting 133,652 inpatients and 891,881 outpatients. The Co intends to use the proceeds for repayment or prepayment in full or in part of certain loan availed by company worth of Rs 300 Cr, purchase of medical equipment for existing recently set up & upcoming hospitals worth of Rs 63.58 Cr, purchase of interiors, furniture & allied infrastructure for upcoming hospitals worth of Rs 11.18 Cr.
Company is bringing the issue at price band of Rs 245-248 /share at p/e multiple of 46-47. Co has leadership in orthopaedics with integrated and scalable business model enhancing patient reach and is experienced player with longstanding presence. Hence, we recommend "Subscribe” on issue for long term.
Click here to read the full report