IPO Bound Out of Hospital Care Platform Portea Pockets $19.87 Mn via Rights Issue

The IPO consists of a fresh issue of equity shares worth INR 200 Cr and an offer for sale (OFS) of up to 56.25 million shares.

Bengaluru-based healthtech platform Portea Medical has raised $19.87 million (INR 165.8 Cr) through rights issue.

The issue price of the shares is INR 23.96 per share. According to the company’s regulatory filing with the Registrar of Companies, Portea’s board approved a special resolution to issue 69.2 million Series D1 compulsory convertible preference shares (CCPS).

The fundraise comes a year after Securities and Exchange Board of India (SEBI) gave a green signal to its Initial Public Offering.

Founded by Krishnan and Meena Ganes in 2013, Portea is a consumer home healthcare provider, offering a wide range of healthcare services. So far, the healthtech company has raised more than $75.1 million.

The company operates across primary care, preventive healthcare, nutrition, chronic disease management, elderly care, and post-operative care providing home visits from doctors, nurses, and physiotherapists, facilitates lab tests at home, as well as offering medical equipment on rent or purchase.

Portea’s IPO Plans

As per the report by Entrackr, in July 2022, Portea filed its Draft Red Herring Prospectus (DRHP) with plans to raise INR 800 Cr ($95.9 million) through its IPO.

The IPO consists of a fresh issue of equity shares worth INR 200 Cr and an offer for sale (OFS) of up to 56.25 million shares.

On March 10, 2023, the healthtech firm submitted an update to its DRHP before gaining approval from SEBI in April 2023. Following the IPO, Portea is looking forward to listing on the BSE and NSE following the IPO.

According to data released by Entrackr, the startup’s operating revenue in the fiscal year 2022-23 (FY23) was INR 145 Cr, a 3.3% decrease from INR 150 Cr the previous year. Portea’s expenses increased by 32.5% from INR 40 crore in FY22 to INR 53 crore in FY23.

Recently, Portea said it achieved a milestone of crossing 10 million appointments conducted at patients' homes over more than a decade.

Healthtech Firms on IPO Route

Since the beginning of the year, as many as four healthcare IPOs have been launched. Third party health insurance administrator Medi Assist Healthcare Services launched its Initial Public Offering (IPO) on January 15, making it 2024’s maiden market subscription. The price band for the INR 1172 Cr IPO has been set at INR 398- 417 per equity share having a face value of INR 5.

Mumbai-based Docmode Health Technologies that provides integrated learning solutions for healthcare professionals and learners globally, released their IPO on January 25, 2024, and closed for subscription on January 30. The IPO was a fixed price issue of INR 6.71 Cr with fixed price per equity share being INR 79.

Similarly, Kolkata-based GPT Healthcare rolled out its initial public offering (IPO) on February 22, 2024. The price band for the upcoming IPO has been set at INR 177-186.

Recently, a Kolkata-based multi-specialty healthcare provider Nephro Care India also filed a draft red herring prospectus (DRHP) with NSE Emerge to raise funds through an initial public offering. The IPO comprises a fresh issuance of 4,584,000 equity shares, each with a face value of Rs 10.