Nephro Care to Raise INR 35-40 Cr via IPO Route

The net proceeds from the IPO will primarily fund the establishment of a new multi-specialty hospital in Kolkata.

Nephro Care India Limited (NCIL), a prominent multi-specialty healthcare provider in East India, has planned to raise INR 35-40 cr through an initial public offering (IPO), pending approval from NSE Emerge.

This strategic initiative aims to facilitate NCIL's expansion across India and enhance its capacity to deliver advanced medical services.

Key Highlights of the IPO

The IPO will consist of a fresh issuance of 45.84 Lakh equity shares, each with a face value of INR 10.

Corporate Capital Ventures has been appointed as the book running lead manager for the IPO, while Bigshare Services will serve as the registrar to the offer.

Corporate Capital Ventures has a successful track record with SME IPOs, managing offerings for companies such as Trust Fintech, Creative Graphics, Alpex Solar, Esconet Technologies, Rockingdeals, Accent Microcell, Oriana Power, Droneacharya, and Crayons Advertising.

IPO Fund Utilization Plans

The net proceeds from the IPO will primarily fund the establishment of a new multi-specialty hospital named 'Vivacity Multi Speciality Hospital' in Madhyamgram, Kolkata, West Bengal.

The remaining funds will support general corporate purposes, further strengthening NCIL's operational infrastructure.

Vivacity Multi Speciality Hospital, a Nephro Care unit, will feature 100 inpatient beds, including a 30-bed critical care unit equipped with ICU, HDU, RTU, and NICU facilities.

The hospital will offer a wide range of treatment services across disciplines such as cardiology, medical oncology, gastroenterology, and gynecology and will house an advanced renal transplant unit.

Rising Financial Performance

NCIL's financial performance has shown significant growth. The company reported a revenue of INR 19.90 Cr and a profit (PAT) of INR 3.4 Cr in the first nine months of FY 2023-24. This compares favorably to a revenue of INR 17.09 Cr and a profit (PAT) of INR 1.94 Cr for the entire FY 2022-23.

Founded in 2014 by Dr Pratim Sengupta, Nephro Care India currently operates three kidney care clinics in West Bengal, along with a flagship holistic healthcare facility in Salt Lake, Kolkata. The company's vision is to positively impact the lives of nearly one million patients suffering from chronic kidney disease.

With the upcoming IPO, Nephro Care India aims to leverage the funds raised to enhance its service offerings and operational footprint.

In January, Nephro Care raised INR 8.08 Cr in a pre-initial public offering (IPO) round led by HDFC's Deepak Parekh. The company planned to utilize the funds to establish 300 comprehensive kidney care clinics across India over the next eight to ten years.

The funds raised in this round will support Nephro Care India's ambitious plan to replicate its successful hub-and-spoke model by establishing 300 Nephrocare centers across the country over the next eight to ten years.

Further, Nephro Care aims to open 22 high-end comprehensive kidney care facilities by March 2026, with the launch of four centers by the end of the current financial year.