Mumbai: Healthcare Global Enterprises Ltd (HCG), a speciality healthcare firm focused on cancer and fertility treatment, on Wednesday filed its draft initial public offering (IPO) papers with markets regulator Securities and Exchange Board of India (Sebi), to raise over $100 million (approximately ₹ 650 crore).
According to the document available on the Sebi website, the IPO will see the company sell 11.6 million primary shares, while investors in the firm will sell 19.4 million shares as part of an offer for sale.
Investors selling part of their holding through the offer include Milestone Army Trust, India Build-Out Fund I, PI Opportunities Fund I and V-Sciences Investments Pte Ltd.
India Build-Out Fund invested ₹ 31 crore in HCG in 2010, while V-Sciences invested ₹ 60 crore in the firm in 2013. PI Opportunities holds 21.11% stake in the company, while India Build-Out and V-Sciences own 17.22% and 16.16%, respectively. The promoter group holds 29% stake in the firm.
The offer will constitute 36.83% of the firm’s post-offer paid-up equity share capital.
The firm will utilize the primary funds to be raised through the issue for purchase of medical equipment; investment in IT software, services and hardware; pre-payment of debt and general corporate purposes.
As of 30 June, HCG’s network consisted of 15 cancer centres, including their centre of excellence in Bengaluru, four free-standing diagnostic centres and one day-care chemotherapy centre.
HCG reported revenue of ₹ 424.4 crore in the 2014-15, as compared to ₹ 325.5 crore in the previous year. It reported a loss of ₹ 2.3 crore in 2014-15, against a loss of ₹ 39.4 crore in the previous year.
Kotak Mahindra Capital Co. Ltd, Edelweiss Financial Services Ltd, Goldman Sachs (India) Securities Pvt. Ltd, IDFC Securities Ltd and IIFL Holdings Ltd are managing the IPO for the firm.
HCG is the 24th firm to file for an IPO in 2015. So far this year, eight firms have raised almost ₹ 3,849.1 crore through their initial public offerings.
HCG is one of the several healthcare firms in the queue for an IPO. Dr Lal Pathlabs Pvt. Ltd, Thyrocare Technologies Ltd, Dr Devi Shetty-led Narayana Health and Aster DM Healthcare are also preparing to roll out IPOs, according to media reports.
