Thyrocares nearly Rs 480 crore IPO to hit stock market next week

Diagnostics company Thyrocare Technologies on Thursday fixed the price band between Rs 420 to Rs 446 crore for its initial public offering (IPO) to raise approximately Rs 480 crore.

"We have fixed the price band from Rs 420 to Rs 446 per equity share to raise funds through IPO of 100% offer for sale. At upper price band, we will raise around Rs 480 crore," Thyrocare Chairman A Velumani told reporters.

The company's IPO will hit the capital markets on April 27 and is scheduled to close on April 29.

The firm, which runs a diagnostics laboratory chain across the country, will come out with a public issue of up to 10,744,708 equity shares of Rs 10 each for cash.

The offer for sale (OFS) is being made by the selling shareholders. Agalia Private  will offer up to 10,207,472 equity shares, Sundararaju HUF and A Velumani HUF will offer 180,000 equity shares each and up to 177,236 equity shares will be offered by Anand Velumani.

Thyrocare competes with diagnostics chains such as Dr Lal PathLabs, SRL Diagnostics, Metropolis Healthcare and Apollo Clinic.

"Our strategy is to further grow our business by expanding our network of regional processing laboratories (RPL) to cater to a larger number of cities across the country. We have opened five RPLs in New Delhi, Coimbatore, Hyderabad, Kolkata, and Bhopal," Velumani said.

The company is also developing a network of molecular imaging centers for cancer diagnosis.

After the completion of the offer, the promoters and the promoter group will own approximately 63.96% of equity share.

Last year, several healthcare firms like Alkem Laboratories, Dr Lal PathLabs, and Narayana Hrudayalaya had hit the capital market, while HealthCare Global Enterprises got listed on the stock exchanges last month.

The company has proposed to list its shares on both BSE and NSE.

The issue is being managed by JM Financial Institutional Securities, Edelweiss Financial Services, and ICICI Securities.