Yatharth Hospital shares made muted debut on D-Street

7 Aug 2023 , 10:00 AM

Yatharth Hospital and Trauma Care Services Ltd. shares made a subdued debut on Dalal Street, opening with a 2% premium. The shares were listed at Rs 306.10 on NSE, marking a 2.03% increase over the issue price of Rs 300. Similarly, on BSE, the shares commenced trading at Rs 304, representing a 1.33% rise above the issue price.

During the July 26-28 period, the company’s Rs 687-crore public offering received robust investor interest, witnessing a substantial subscription of 36.16 times. Qualified institutional investors led the support, oversubscribing their quota by 85.10 times, followed by high net worth individuals and retail investors, who bid 37.22 times and 8.34 times, respectively.

Operating primarily in Noida, this multi-care hospital chain operates three super specialty hospitals in the Delhi NCR region, along with an additional 305-bed multi-specialty hospital in Madhya Pradesh. This expansion has increased the total bed capacity to 1,405 beds, staffed by 609 doctors by the end of FY23, marking a significant growth from 864 beds in FY21, exhibiting a compounded annual growth rate of 27.5%.

The public offering consisted of a fresh issue of Rs 490 crore and a promoter’s offer for sale worth Rs 196.55 crore. The funds raised from the fresh issue will be allocated towards debt repayment, hospital capital expenditure, and initiatives for inorganic growth.