Suraksha Diagnostics IPO subscribed fully on day 3; QIBs lead with 1.52 times
Suraksha Diagnostics IPO concludes with full subscription, driven by strong QIB interest. Key dates include allotment on December 4 and listing on December 6. Limited retail participation raises caution.
Suraksha Diagnostics Limited's Rs 846.25 crore initial public offering (IPO) has been fully subscribed on its final day of bidding, December 3, 2024. The IPO, which opened on November 29, comprises a complete Offer for Sale (OFS) of up to 1.91 crore equity shares by promoters and existing shareholders. The price band is set at Rs 420 to Rs 441 per share, with a lot size of 34 shares.
Subscription details
As of 3:27 pm on Day 3, the IPO was subscribed 1.10 times overall. The Qualified Institutional Buyers (QIB) category saw the highest demand, with subscriptions of 1.52 times. Non-Institutional Investors (NII) followed with 1.17 times, while the Retail Individual Investors (RII) portion was subscribed 0.79 times, indicating relatively subdued interest from smaller investors.
Financial performance and outlook
Suraksha Diagnostics, a leading player in the diagnostics sector, reported a total income of Rs 222 crore in FY24, up from Rs 193 crore in FY23. Profit after tax surged to Rs 23 crore during the same period. The company operates a robust network, including a flagship central reference lab, eight satellite labs, and 194 customer touchpoints across key states in East India.
Key post-IPO dates
The allotment of shares is expected to be finalized on December 4, with refunds and credit of shares to demat accounts on December 5. The listing is slated for December 6 on NSE and BSE.
Suraksha Diagnostics' regional dominance and financial growth reflect promising scalability. However, the IPO’s structure as an OFS means no fresh capital will flow into the company, potentially limiting immediate growth initiatives.
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