The initial public offering of Rainbow Children's Medicare Ltd. subscribed more than 12 times on the third day, led by demand from institutional investors.
The issue was subscribed 55% by the end of the second day.
The Hyderabad-based hospital chain seeks to raise Rs 1,580.8 crore, including a fresh issue worth Rs 280 crore, at Rs 516-542 apiece.
Rainbow will offer 28.74% of the post-issue equity in the IPO. The promoters will own 49.80% after the sale.
The company has also raised Rs 470 crore from anchor investors ahead of the IPO.
With the proceeds, the company plans a capex of Rs 244 crore over the next three years to set up six new hospitals. It also plans to use Rs 40 crore to redeem non-convertible debentures issued to investor CDC Group.
Subscription Details: Day 3
The IPO subscribed 12.43 times as of 5 p.m. on April 29.
Institutional investors: 38.90 times.
Non-institutional investors: 3.73 times.
Retail investors: 1.38 times.
Employees: 0.31 times.
Top Research Reports On Rainbow Children's Medicare IPO
Specialised Medical Services With Hub And Spoke Model: Reliance Securities
Investment Rationale, Key Strategies, Risks, Financials: Anand Rathi
Watch BloombergQuint's IPO Adda With Rainbow Children's Medicare's Management:
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