On January 23, 2024, Medi Assist Healthcare made a notable entry into the market, unveiling an 11% premium over its IPO price. The stock commenced trading at INR 460 on the NSE and INR 465 on the BSE, surpassing its issue price of INR 418.
Leading up to the listing, the stock exhibited a similar premium in the grey market, an informal platform where shares are traded before allotment and persist until the listing day. Investors often rely on the grey market premium (GMP) as an indicator for predicting the listing price.
The IPO, structured as an offer for sale, experienced robust demand, attracting bids for approximately 31.87 crore shares against the 1.96 crore share issue size. Retail investors subscribed 3.19 times, while qualified institutional buyers (QIB) and high net worth individuals (HNI) subscribed 14.85 times and 40.14 times, respectively.
Running from January 15 to January 17, the IPO successfully raised INR 1,171.58 crore through the offer-for-sale of 2.8 crore shares. Axis Bank, IIFL Securities, Nuvama Wealth Management, and SBI Capital Markets served as the book-running lead managers, with Link Intime India as the registrar.
Medi Assist reported robust year-on-year growth of 18.7% in consolidated net profit, amounting to INR 75.31 crore for the fiscal year ending March 2023. As a company engaged in third-party administration services through subsidiaries like Medi Assist TPA, Medvantage TPA, and Raksha TPA, it showcased significant revenue growth and margin expansion, solidifying its position as a key player in the healthcare insurance support sector.