The highly anticipated IKS Health IPO, backed by Jhunjhunwala family trusts, is set to launch on December 12, 2024, aiming to raise ₹2,500 crore through an Offer-for-Sale (OFS). As a prominent healthcare technology company, IKS Health provides innovative solutions to streamline administrative processes for healthcare enterprises.
This IPO not only highlights the company’s growth potential but also sheds light on the remarkable returns for early investors, making it a compelling opportunity for market participants.
Key Highlights of IKS Health IPO
- IPO Date: Opens December 12, closes December 16.
- Issue Size: ₹2,497.92 crore (entirely an Offer-for-Sale).
- Price Band: ₹1,265-1,329 per share.
- Lot Size: Minimum 11 equity shares and multiples thereafter.
- Listing Date: December 19, on BSE and NSE.
The IPO is an Offer-for-Sale (OFS) by the promoters and existing shareholders. Prominent stakeholders include Rekha Jhunjhunwala, trusts named after Rakesh Jhunjhunwala’s children, and other notable investors.
Overview Table: Key Shareholder Returns and Cost of Acquisition
| Investor | Cost/Share (₹) | Upper Band Price (₹) | Return (%) | Multiples (x) |
|---|---|---|---|---|
| Jhunjhunwala Trusts | Negligible | ₹1,329 | N/A | N/A |
| Rekha Jhunjhunwala | Negligible | ₹1,329 | N/A | N/A |
| Joseph Benardello, Gautam Char | ₹3.82 | ₹1,329 | 34,700% | 348x |
| Parminder Bolina | ₹3.83 | ₹1,329 | 34,600% | 347x |
| Jeffrey Philip Freimark | ₹5.37 | ₹1,329 | 24,650% | 248x |
| Shane Hsuing Peng | ₹67.95 | ₹1,329 | 1,850% | 19.5x |
| Berjis Minoo Desai | Negligible | ₹1,329 | N/A | N/A |
Promoter and Trust Shareholding
As per the Red Herring Prospectus (RHP):
- Three Jhunjhunwala trusts, named after Aryaman, Aryavir, and Nishtha, hold 2,98,00,811 shares each, representing 17.37% of the company’s equity.
- Rekha Jhunjhunwala personally holds 3,90,478 shares (0.23% equity).
The promoters have negligible acquisition costs, making their returns immeasurable. The sale is expected to unlock significant value for these stakeholders.
How Early Investors Gain Exponentially
The IPO offers astronomical returns for early investors:
- Joseph Benardello and Gautam Char: Acquired shares at ₹3.82 each, gaining 348x returns at the upper price band.
- Parminder Bolina: Acquired at ₹3.83, gaining 347x returns.
- Jeffrey Philip Freimark: Purchased shares at ₹5.37, seeing 248x returns.
- Shane Hsuing Peng: Bought at ₹67.95, yielding nearly 19.5x returns.
IPO Managers and Listing
- Lead Managers: ICICI Securities, Jefferies India, JM Financial, JP Morgan India, and Nomura Financial.
- Registrar: Link Intime India.
- Listing Date: December 19, 2024.
Conclusion
The IKS Health IPO is an opportunity for existing stakeholders to capitalize on astronomical returns. For new investors, the company’s strong administrative services in healthcare and its association with marquee promoters make it an intriguing opportunity. Early indicators suggest strong interest, but the valuation and market dynamics will determine its post-listing performance.
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Disclaimer:
This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research or consult a financial advisor before making investment decisions.
