1 week ago
ABH Healthcare IPO Sees Strong Demand, GMP Reports Diverge
ABH Healthcare is selling new shares to investors through an IPO.
The IPO opened on 24 August and is scheduled to close on 27 August.
By the third day, investors had applied for 83% of the available shares.
Large institutional investors showed the strongest demand, applying for 8.37 times their reserved portion.
Retail investors had applied for 73% of their reserved shares.
The shares cost between ₹96 and ₹102 each, and investors must apply for at least 1,200 shares.
Reports disagree about the grey-market premium: one says it is ₹0, while another says it is ₹55–60.
Grey-market prices are unofficial and do not guarantee the actual listing price.
ABH Healthcare plans to use much of the money to repay debt and support future business growth.
ABH Healthcare’s IPO was 83% subscribed by 10:39 IST on its third day.
The retail portion was 73% subscribed, the NII portion 49%, and the QIB portion 8.37 times subscribed.
The issue has a ₹96–₹102 price band, a 1,200-share lot size, and 34.29 lakh fresh shares.
Reports differ on the grey-market premium, citing either ₹0 or approximately ₹55–60 per share.
The company plans to use ₹17 crore for debt repayment, ₹5 crore for working capital, and the remaining proceeds for acquisitions and corporate purposes.
- Who
- ABH Healthcare Ltd, which operates the Anil Baghi Hospital brand, and investors participating in its IPO.
- What
- An IPO offering 34.29 lakh fresh equity shares, with overall subscription reaching 83% by the third day.
- Where
- The shares are expected to list on the NSE SME platform.
- When
- The issue opened on 24 August and is scheduled to close on 27 August; allotment is expected on 28 August and listing on 1 September.
- Why
- The company plans to repay debt, fund working capital, pursue potential acquisitions, and meet general corporate needs.
No Premium Report
High Premium Report
Grey-market premium
No Premium Report
The first report, citing investorgain.com, puts the grey-market premium at ₹0, indicating trading around the upper issue price of ₹102 without a premium or discount.
High Premium Report
The second report says the unofficial premium rose to approximately ₹55–60 per share from ₹25–30 a few days earlier, implying a possible listing gain of about 55% against the upper price band.
Interpretation of demand
No Premium Report
The available subscription data shows the issue was 83% subscribed overall, with retail and NII portions still below full subscription at the reported time.
High Premium Report
The second report emphasizes the 8.37-times QIB subscription as evidence of institutional confidence in the company’s fundamentals and growth prospects.
Key facts
- Price band
- ₹96 to ₹102 per equity share
- Issue size
- 34.29 lakh fresh equity shares; the second report values the issue at ₹34.98 crore
- Minimum lot
- 1,200 shares, with bids accepted in multiples of 1,200
- Subscription
- 83% overall by 10:39 IST on day three; QIBs subscribed 8.37 times
- Grey-market premium
- Conflicting reports cite ₹0 and approximately ₹55–60 per share
- Use of proceeds
- ₹17 crore for debt repayment or prepayment, ₹5 crore for working capital, and the balance for possible acquisitions and general corporate purposes
- Business profile
- A 150-bed multispeciality hospital offering treatment across 25 medical specialities
Quotes
Saurabh Baghi
Managing Director of ABH Healthcare Ltd
“As we enter the next phase of our journey as a listed company, we remain focused on strengthening our clinical capabilities, enhancing patient care and building on the trust that Anil Baghi Hospital has established over the years”
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