MedPlus Health IPO subscribed 70% on Day 1, retail quota filled 1.29 times

MedPlus Health Services Limited Initial Public Offer (IPO) was subscribed 70 per cent around 05:00 pm on Monday, December 13, 2021. Against reserved 1,25,75,154 shares, bids for 87.62.598 shares were made on the first day so far.  

The issue of the second-largest Pharmacy retailer in India saw retail investors subscribing to the issue 1.29 times, while employees' quota was filled 0.76 times and the Non-Institutional Investors (NIIs) portion saw bidding being made for 0.16 times around the same time.  

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The three-day initial public offer (IPO) that opened on Monday will close on December 15. The issue comprises a fresh issue of up to Rs 600 crore and an offer for sale (OFS) of up to Rs 798.29 crore. 

Medplus had a fixed price band of Rs 780-Rs 796 for this IPO. One lot consists of 18 equity shares. An investor can apply for a minimum of one lot or 18 equity shares and in multiples thereof. The maximum subscription amount for a retail investor has been capped at Rs 2 lakh, while for eligible employees, it is Rs 5 lakh. 

Maximum bid quantity for the QIB investors 12,503,916 equity shares in multiple of 35 Equity Shares, while for NIB Investors 8,931,366 equity shares in multiple of 35 Equity Shares. 

Axis Capital Limited, Credit Suisse Securities (India) Private Limited, Edelweiss Financial Services Limited and Nomura Financial Advisory and Securities (India) Private Limited are Book Running Lead Managers (BRLMs), while the sponsor bank is Axis Bank Limited. 

MedPlus IPO Timeline 

Application start date: December 13, 2021 

Application end date: December 15, 2021 

Allotment begins on: December 20, 2021 

Refund initiation date: December 21, 2021 

Allotment finalisation date: December 22, 2021 

Listing date: December 23, 2021 

Dates as per Upstox 

Should you apply?  

Earlier, speaking about this IPO, Zee Business Managing Editor Anil Singhvi on Monday said that one can apply for this IPO for reasonable listing gain and with long-term view.  

He said strong promoters, Medplus being second largest Pharmacy retailer in India and strong financial track record infuse confidence in the company and the IPO. Also, reasonable valuation is a bonus. Negative for this company is that its focuses only in the southern market," said Anil Singhvi.