India's Medanta jumps 24% in market debut after $270 mln IPO

Global Health

16/11/2022 06:06

** Shares of Global Health Ltd  GLOH.NS , which operates
hospitals under the brand name Medanta, rise as much as 24% to
416.7 rupees in market debut
    ** Stock opened at 401 rupees, 19.3% above issue price of
336 rupees (price band 319-336 rupees), in a muted broader
market  .NSEI 
    ** GLOH's 22.06 bln rupee ($271 mln) IPO was subscribed
9.6x, with institutional investors bidding for nearly 29x the
shares on offer; retail interest was tepid (0.88x subscribed)
    ** IPO consisted of fresh issue of shares worth 5 bln rupees
and a sale of 50.8 mln shares by existing shareholders
    ** ICICI Direct Research had assigned 'subscribe' to the IPO
citing improving financials, decent valuation and growing
investors interest in the hospitals space
    ** However brokerage's concerns incl concentration in north
and east India, comparatively fewer hospitals, reliance on key
personnel and high single-asset dependence were key concerns
    ** More than 35 mln shares traded as of 0551 GMT
 (Reporting by Meenakshi Maidas in Bengaluru)
 ((meenakshi.maidas@thomsonreuters.com; Mob: +91 8921483410;))