Shares of Entero Healthcare Solutions Ltd List at a Discount on NSE and BSE
Entero Healthcare Solutions Ltd, a leading healthcare product distributor in India, made its debut on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) at a discount. The shares were listed at Rs 1,228.70 on the NSE, 2.33% lower than their initial public offering (IPO) price of Rs 1,258 per share. On the BSE, the stock debuted at Rs 1,245, a 1.03% discount.
The IPO Was Oversubscribed and Drew Interest from Institutional Investors
The company's IPO, which raised Rs 1,600 crore, saw strong demand from investors. The IPO was subscribed 1.53 times on its third and final day, with bids from institutional investors leading at 2.28 times. Non-institutional investors subscribed at 0.22 times, while retail investors had a subscription of 1.33 times. The employee reserved portion was subscribed at 1.25 times.
Anchor Investors Show Confidence in Entero Healthcare Solutions
Before the IPO, Entero Healthcare Solutions raised Rs 716.4 crore from anchor investors. Notable allocations included Capital Group-backed Smallcap World Fund at 23.19%, the Government of Singapore at 20.72%, and other significant investors such as Pioneer Investment Fund, Carmignac Portfolio, Monetary Authority of Singapore, Allianz Global, and Jupiter India.
A Leading Healthcare Product Distributor with Pan-India Reach
Founded in 2018, Entero Healthcare Solutions quickly emerged as one of the top three healthcare product distributors in India by revenue in fiscal 2022. The company operates a pan-India, technology-driven, and integrated healthcare products distribution platform, providing manufacturers access to a vast network of pharmacies, hospitals, and clinics across the country.
Extensive Distribution Network and Impressive Clientele
Entero Healthcare Solutions operates 77 distribution warehouses in 38 cities, serving over 73,700 pharmacies and 2,800 hospitals across 501 districts as of September 30, 2023. The company's platform offers a one-stop solution for the procurement needs of pharmacies, hospitals, and clinics associated with the company.
Entero Healthcare Solutions' successful IPO listing and its strong market debut reflect the confidence investors have in the company's growth potential and its role in India's healthcare sector.
Analyst comment
Positive news. The shares of Entero Healthcare Solutions Ltd debuted on the NSE and BSE at a slight discount to their IPO price. The IPO was subscribed 1.53 times, indicating strong investor interest. The company has established itself as a top healthcare product distributor in India and operates a wide network of distribution warehouses. Market analysts expect the stock to perform well in the near future.
