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Manipal Health Enterprises IPO subscribed 0.15 times on Day 1
The deal raised ₹4,167 crore from anchor investors and lists Aug. 5, with the issue priced in a ₹560 to ₹590 band.
Manipal Health Enterprises, which operates a network of multi-specialty hospitals in India, saw a slow start to its initial public offering, with the issue subscribed 0.15 times by the end of Day 1. Exchange data cited by LiveMint Markets showed bids for 1.31 crore shares against 8.66 crore shares on offer.
LiveMint Markets reported that subscription was weak across most categories. Retail was booked 0.27 times, the employee quota 0.95 times, non-institutional investors 0.08 times, and qualified institutional buyers 0.15 times.
The company raised ₹4,167 crore from anchor investors ahead of the IPO, including Abu Dhabi Investment Authority and Allianz Global Investors Fund, according to LiveMint Markets. Manipal Health Enterprises fixed the price band at ₹560 to ₹590 per equity share and listed its grey market premium at ₹10 per share, implying a potential 1.7% premium over the upper end of the band.
The IPO consists of a fresh issue worth ₹8,000 crore and an offer for sale of 2.16 crore equity shares totaling ₹1,275.2 crore, bringing the total issue size to ₹9,275 crore, LiveMint Markets said. The company plans to use ₹5,378 crore from net proceeds to repay borrowings and ₹574 crore to acquire a minority stake in its step-down subsidiary, Sahyadri Hospitals, with the rest allocated to general corporate purposes.