GPT Healthcare, the integrated healthcare services provider, has got the go-ahead from the Securities Exchange Board of India (SEBI) to launch its initial public offering (IPO). The Kolkata-based company, which operates and manages hospitals under the ILS Hospitals brand, will be looking to raise between Rs 450-500 crore.

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According to the draft red herring prospectus (DHRP) filed by the company, the IPO will include a fresh issues of equity shares amounting to Rs 17.5 crore and an offer-for-sale (OFS) of 29,887,486 equity shares. BanyanTree Growth Capital II, LLC, a Mauritius-based closed private equity fund will be offloading 26,082,786 equity shares and GPT Sons Pvt Ltd, a promoter of the company, will sell 3,804,700 equity shares. Currently, the two entities hold 32.64 percent and 67.36 percent stake in the company, respectively. Proceeds from the fresh issue portion of the IPO will be used for purchasing medical equipment worth Rs 13.2 crore, and for other general corporate purposes. Dam Capital Advisors Ltd and SBI Capital Market Ltd are the leading investment bankers to the IPO.

The company currently operates and manages small to medium-sized hospitals in Eastern India, with integrated healthcare services and a focus on secondary and tertiary care. The company runs four multi-speciality hospitals with a combined capacity of 556 bed. It now plans to expand to Varanasi, Patna, Raipur, Guwahati, Kanpur and Cuttack. Its current facilities are located in Dumdum, Salt Lake and Howrah in Kolkata and one in Agartala, Tripura. GPT Healthcare recently signed an MoU and a long-term lease agreement to start operations of a 140-bed hospital in Ranchi, which is expected to start from 2025. The company pooled in investments worth Rs 50 crore for the new facility.

The company’s total income increased to Rs 249 crore in FY21 from Rs 216 crore in FY20, primarily on the back of increased revenue from hospital services and pharmacy sales.

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(Edited by : Thomas Abraham)

First Published:Jan 4, 2022 2:30 PM IST