Park Medi World IPO Day 2: Issue fully subscribed, check latest GMP, subscription status - Should you apply?

Park Medi World IPO Day 2: The initial public offering (IPO) of Park Medi World, which operates the Park Hospital chain across North India, opened for subscription on December 10 and will remain open until Friday, December 12. The company is targeting ₹920 crore through the issue and saw a muted response, with the IPO subscribed just 1.05 times till Day 2.

The offer includes a fresh issue of 4.75 crore shares amounting to ₹770 crore and an offer for sale (OFS) of 0.93 crore shares worth ₹150 crore.

The price band has been set at ₹154 to ₹162 per share.

The allotment of shares is scheduled to be finalised on December 15. Successful bidders are expected to receive shares on December 16, while refunds for those not allotted will also be processed the same day.

The company is slated to debut on both NSE and BSE on December 17.

Of the fresh issue proceeds, Park Medi World plans to deploy ₹380 crore towards repayment of borrowings for the company and its subsidiaries. Another ₹60.50 crore is earmarked for establishing a new hospital and expanding both its own facilities and those of its subsidiary. A further ₹27.46 crore will be used for medical equipment purchases, with the balance allocated to general corporate purposes and potential inorganic opportunities yet to be identified.

Ahead of the IPO opening, the company raised ₹276 crore from anchor investors on December 9.

Under the IPO structure, up to 50% of the issue is reserved for qualified institutional buyers, at least 35% for retail investors and no less than 15% for non-institutional investors.

Applications must be placed in lots of 92 shares, setting the minimum retail investment at ₹14,904.

Nuvama Wealth Management, CLSA India, DAM Capital and Intensive Fiscal Services are the book-running lead managers, while KFin Technologies is the registrar.

Park Medi World IPO GMP Today

Investor sentiment has cooled, with the grey market premium (GMP) slipping to ₹8.5 from ₹14 on December 11. This implies a likely listing price of ₹170.50, representing an 5.25% premium to the issue price of ₹162.

The ‘grey market premium’ reflects the additional amount investors are willing to pay over the IPO price.

Park Medi World IPO subscription status

By end of Day 2, the IPO was subscribed 1.05 times overall.

The retail category stood at 1.27x.

The NII segment saw subscriptions of 1.46x.

However, the QIB portion had received 0.34x bids till then.

In total, the company received bids for 4.15 crore shares against the 3.97 crore shares on offer.

Park Medi World IPO: Should you subscribe?

Master Capital Services remains optimistic about the IPO. It noted that with the sector projected to grow from ₹6.9–7.0 trillion in FY2025 to ₹9.4–9.8 trillion by FY2028, Park Medi World is well positioned to capitalise on this expansion through its network of multi-super specialty hospitals, cutting-edge technology and patient-focused model. Backed by rising lifestyle diseases, an aging population and government schemes such as PMJAY, the company is expected to benefit from strong industry tailwinds. Master Capital believes these strengths make the IPO a solid long-term opportunity.

Anand Rathi said Park Medi World is valued at 32.8x FY25 P/E at the upper end of the price band, translating into a post-issue market capitalisation of ₹5,355.9 crore. The brokerage highlighted the company’s strong positioning to tap growing demand for affordable, high-quality healthcare amid its expansion through organic growth and acquisitions. It also noted efforts to enhance occupancy at existing hospitals and scale newer facilities using advanced technology, specialised expertise and new clinical programmes.

As the brokerage remarked, “the company’s ability to attract and retain experienced doctors and clinical professionals remains central to sustaining and elevating the quality of care it delivers.”

On this basis, Anand Rathi has assigned a “Subscribe – Long Term” rating.

About Park Medi World

Park Medi World is the second-largest private hospital operator in North India with a total capacity of 3,000 beds, and is the largest private hospital chain in Haryana with 1,600 beds as of March 31, 2025. It operates 14 NABH-accredited multi-super specialty hospitals under the ‘Park’ brand. Over the past two years, its capacity has expanded from 2,550 beds as of March 31, 2023 to 3,250 beds by September 30, 2025. Additional expansion projects are underway in Ambala, Panchkula, Rohtak, New Delhi, Gorakhpur and Kanpur.

Financially, Park Medi World recorded ₹213 crore in profit in FY25, up from ₹152 crore in FY24 but below the ₹228 crore earned in FY23. Revenue has also grown steadily, increasing to ₹1,426 crore in FY25 from ₹1,263 crore in FY24 and ₹1,272 crore in FY23.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.