Jupiter Life Line Hospitals IPO will remain opened for public subscription between September 6 and September 8
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Jupiter Life Line Hospitals IPO Day 1: The initial public offering of Jupiter Life Line Hospitals, a multispecialty hospital chain, is now open for public subscription. The Rs 869-crore IPO, which was opened on September 6, will remain open for subscription till September 8. The IPO price band has been fixed at Rs 695-735 a share.
Jupiter Life Line Hospitals IPO: Key Dates, Lot Size, Price
The will remain opened for public subscription between September 6 and September 8. The share allotment will take place on September 13. The shares of the company will be listed on September 18, 2023.
The lot size of the Jupiter Life Line Hospitals IPO is 20 shares, requiring a minimum investment of Rs 14,700. The price band has been set at Rs 695-735 per share.
Jupiter Life Line Hospitals on Tuesday, September 5, raised Rs 261 crore from anchor investors ahead of its IPO.
Jupiter Life Line Hospitals IPO: Latest GMP Today
According to market observers, Jupiter Life Line Hospitals is currently trading Rs 276 higher in the grey market. The Rs 276 grey market premium or GMP is about 37.55 per cent higher than its upper issue price of Rs 735 per share. This means the grey market is expecting 37.55 per cent listing gain from the public issue.
‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
Jupiter Life Line Hospitals IPO: Should You Subscribe?
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“At the IPO price of Rs 735 (upper price band), JLHL is valued at P/E of 59.9 times. Considering the growth opportunities in the company and strong fundamentals, we recommend a Subscribe rating,” said Ventura Securities.
According to another brokerage SMIFS, “It has the high-level ARPOB. Hence, based on current performance, we assign ‘Subscribe for listing gains’. At higher price band, Jupiter Hospital is demanding an EV/Ebitda multiple of 22 times, which is at par with peer Yatharth Hospitals (Same size of 3 hospitals). Thus, the IPO is attractively priced.”
Details About Jupiter Life Line Hospitals IPO
The IPO comprises a fresh issue of equity shares worth Rs 542 crore and an offer for sale (OFS) of 44.5 lakh equity shares by promoter group entities and other shareholders.
Last month, Jupiter Hospital mobilised Rs 123 crore from institutional investors in the pre-IPO round thereby reducing fresh issue size. The proceeds of the fresh issue will be utilised to retire debt. Besides, funds will be used for general corporate purposes.
The hospital chain operates in Thane, Pune, and Indore under the “Jupiter” brand with a total bed capacity of 1,194 as of December 2022.
Jupiter Hospital, which has a strategic focus on the western India healthcare market, is in the process of developing a multispecialty hospital in Dombivli, Maharashtra, which is being designed to accommodate over 500 beds. The construction of the hospital began in April this year.
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ICICI Securities, Edelweiss Financial Services, and JM Financial are the book-running lead managers to the issue. The equity shares are proposed to be listed on BSE and NSE.
