Sebi Approves IPOs for Medi Assist Healthcare Services and Apeejay Surrendra Park Hotels

14 Dec 2023 , 10:32 AM

Medi Assist Healthcare Services and Apeejay Surrendra Park Hotels have received approval from the Securities and Exchange Board of India (SEBI) to proceed with their respective initial public offerings (IPOs) to raise funds.

Medi Assist Healthcare Services IPO:

• Approval Date: SEBI issued an observation letter on December 8.
• Offer Details: Refiling draft papers on August 25, Medi Assist plans to raise around Rs 800-Rs 1,000 crore through an offer for sale (OFS) of 2.8 crore shares.
• Selling Shareholders: Dr Vikram Jit Singh Chhatwal, Medimatter Health Management, Bessemer Health Capital LLC, and others will collectively sell 2.16 crore shares in the OFS.
• Unique Aspect: This marks India’s first IPO by an insurance third-party administrator (TPA), with Medi Assist being the country’s largest health benefits administrator based on revenues in the past three financial years.
• Usage of Proceeds: Repayment of Rs 550 crore debt and the remaining funds allocated for general corporate purposes.

Apeejay Surrendra Park Hotels IPO:

• Approval Date: SEBI issued an observation letter on December 7.
• Offer Details: Filed on August 19, the IPO consists of a fresh issue of shares worth Rs 650 crore and an offer for sale (OFS) of Rs 400 crore.
• Promoter Entities Selling Shares: Apeejay Surrendra Trust and Apeejay will offload Rs 376 crore worth of shares.
• Pre-IPO Placement Consideration: The company may raise Rs 130 crore in a pre-IPO placement, impacting the fresh issue size if undertaken.
• Proceed Utilization: The fresh issue proceeds will primarily be used to repay Rs 550 crore debt, with the remaining funds allocated for general corporate purposes.

Lead Managers:

• Medi Assist Healthcare Services: Axis Capital, IIFL Capital Services, Nuvama Wealth Management, and SBI Capital Markets.
• Apeejay Surrendra Park Hotels: JM Financial, Axis Capital, and ICICI Securities.

Both IPOs bring diverse offerings to the market, representing the healthcare services and hospitality sectors, respectively.