Yatharth Hospital’s debut on the stock market was disappointing, with the company’s shares launched at a 2% premium over its IPO price. The stock began trading at Rs. 304 on the Bombay Stock Exchange, up 1.33 percent. Despite gains, the stock still traded at a premium of just over 11% over its IPO issue price.
1000 Yatharth Hospital’s  stock market debut disappointed. The company’s shares were launched on the markets on August 7, Monday, at a meager 2% premium over their IPO price.
In comparison to the issue price of Rs 300, the stock was listed at a premium of Rs 6.1 or 2.03 percent on the National Stock Exchange at Rs 306.1. It began trading at Rs. 304 on the Bombay Stock Exchange, up 1.33 percent.
Even though the stock gained some momentum following its initial listing, as of 11:50 am, it was still trading at a premium of just over 11% over its IPO issue price.
The company’s shares were trading at a premium of Rs 75 before the market debut, hence the lackluster listing came as a surprise.
Investors responded favorably to Yatharth Hospital’s first public offering, with the total subscription reaching 36.1 times at the closing.
The IPO attracted considerable interest from qualified institutional purchasers, with the category receiving the highest subscription (85.1 times). Retail investors subscribed 8.3 times compared to non-institutional investors’ 37.2 times.
The IPO included an offer for sale (OFS) of Rs 65.51 lakh shares and a new issuance of up to Rs 490 crore. Analysts expressed confidence in the offering, and several of them advised investors to “subscribe” because of the company’s excellent financial position and the region’s prospects for growth.
In addition to running three super speciality hospitals in the Delhi-National Capital Region, Yatharth Hospital & Trauma Care Services recently purchased Ramraja Multispeciality Hospital and Trauma Centre in Orchha.
As of March 2023, the firm had 609 doctors on its panel and four operating hospitals with a total of 1405 beds. Between FY21 and FY23, PAT margin rose from 8.6% to 12.6% and ROE rose from 25.1% to 36%. The fiscal year ending March 2023 saw sales of Rs 520 crore and a profit of Rs 65.7 crore.
Conclusion:-
Yatharth Hospital’s stock market debut was disappointing, with the company’s shares launched at a 2% premium over its IPO price. The stock began trading at Rs. 304 on the Bombay Stock Exchange, up 1.33 percent. Despite gains, the stock still traded at a premium of just over 11% over its IPO issue price. The IPO attracted interest from qualified institutional purchasers, with retail investors subscribed 8.3 times compared to non-institutional investors’ 37.2 times. Analysts expressed confidence in the offering and advised investors to subscribe due to the company’s excellent financial position and growth prospects.
