Kedaara Capital funded Vijaya Diagnostic Centre Ltd. will open its IPO on 1 September 2021. The public offering is set to close on 3 September 2021.
As per reports, Vijaya Diagnostic IPO will be entirely an offer for sale (OFS) of nearly 35.69 million shares by its current promoters and shareholders.
Objectives of the IPO – At a Glance
Vijaya Diagnostic Ltd. will be using the proceeds from its public offering for the following purposes:
- To obtain the benefits of share listing on the stock exchanges
- To make an offer for sale of the 35.69 million shares
Here’s a Quick Overview of the Company
Founded in 1981, Vijaya Diagnostic Centre is among the leading and fastest-growing diagnostic centre chains of South India. It offers around 740 routine medical tests, 220 basic tests and 870 special pathology tests.
In addition, the company provides 320 advanced radiology tests. Vijaya Diagnostic also provides a series of customised wellness packages to its customers.
This company comes with a vast network of diagnostic centres spread across Southern India, Kolkata, and the National Capital Region. It has 80 diagnostic centres in addition to 11 reference laboratories across 13 towns and cities of Andhra Pradesh, Telangana, Kolkata, and the National Capital Territory.
By the end of 31 March 2021, the company had carried out about 6.20 million pathology tests and nearly 0.89 million radiology tests. It had served roughly 2.63 million customers. As per company data, around 96.2% of the total revenue comes from Hyderabad alone, while the remainder comes from Andhra Pradesh and Telangana.
Every Vijaya Diagnostic Centre branch is accredited by the National Accreditation Board for Testing and Calibration Laboratories. Similarly, 3 specific branches hold Patient Safety and Quality of Care accreditations.
A Close Look at Vijaya Diagnostic IPO
Vijaya Diagnostic IPO will be an offer for sale of 35,688,064 equity shares. Dr S. Surendranath Reddy, the promoter of the company, will be offloading 5.1 million shares. Karakoram Ltd. will be selling off nearly 29.49 million shares. On top of that, Kedaara Capital Alternative Investment Fund would be exiting 1.10 million equity shares. The face value of Vijaya Diagnostic IPO stands at Re. 1 for each equity share. The entire OFS will aggregate to Rs. 1,895.04 crores.
The market lot size of Vijaya Diagnostic IPO will be 28 shares. A retail investor can subscribe for up to 13 lots which is equivalent to 364 shares. Moreover, the IPO price band will range between Rs. 522 and Rs. 531 for each share.
The minimum order quantity stands at 28 shares which would cost Rs. 14,868. Vijaya Diagnostic IPO will be listed on both the NSE and BSE.
Competitive Strengths of the Company
Here’s a list of operational strengths that Vijaya Diagnostic Ltd. comes with:
- It is an affordable, one-stop solution to avail a wide range of superior diagnostic services.
- All of the diagnostic centres and laboratories hold NABL accreditation.
- A large and diverse customer base.
- One of the fastest-growing diagnostic chains in Southern India.
- Superior technology and highly advanced infrastructure along with cutting-edge technical capabilities.
How’s the Financial Track Record of Vijaya Diagnostics?
Before investing in a company, it is imperative to check the financial performance of the company.
Let’s take a look at Vijaya Diagnostic’s financial details below:
|As On||Total Assets (Rs. In million)||Total Revenue (Rs. In million)||Profit after tax (Rs. In million)|
|31 March 2021||5,409.40||3,885.93||849.11|
|31 March 2020||4,822.56||3,541.82||625.07|
|31 March 2019||4,064.30||3,029.44||462.72|
As of March 2021, the company’s bank balance stood at Rs. 200.11 crores. This is remarkably higher than the outstanding debt of Rs. 4.47 crores.
Timeline of this Upcoming IPO
Here’s a tentative timeline for the initial public offering of Vijaya Diagnostic:
- Opening date of IPO: 1 September 2021
- Closing date: 3 September 2021
- Date for the basis of allotment: 8 September 2021
- Initiation of refund: 9 September 2021
- Date for credit of shares to the Demat account: 13 September 2021
- IPO listing: 14 September 2021
Vijaya Diagnostic Ltd. is the latest addition to the long list of Indian companies that have decided to go public this year. Edelweiss Financial Services, ICICI Securities, and Kotak Mahindra Capital have been appointed as the lead managers of this upcoming issue.
To stay updated on more such news about the stock market, keep an eye on the Angel One blogs.
Frequently Asked Questions
- Where will Vijaya Diagnostic IPO be listed on?
Vijaya Diagnostic IPO will be listed on both NSE and BSE.
- Who is the registrar for Vijaya Diagnostic IPO?
KFintech Private Ltd. will be the registrar for this upcoming IPO.
- Can I apply for Vijaya Diagnostic IPO with UPI?
Yes, you can apply for Vijaya Diagnostic IPO. However, you should have a valid UPI handle that is linked to your bank account.