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PremiumSagility Share Price Live Updates: The equity shares of Sagility India Ltd made a tepid debut on the domestic stock market indices today. On NSE and BSE, Sagility India's share price opened at ₹31.06 per share, up 3.53 per cent from the issue price of ₹30.
Sagility India's share price made a tepid debut on the bourses today, Tuesday, November 12. The stock ended listing day at ₹29.10 on NSE, a 3% discount to the IPO price of ₹30, and at ₹29.36 on BSE, a 2.13% discount.
The initial public offering (IPO) for the healthcare service provider, saw a healthy level of subscription during its bidding period.
A notice from the BSE has informed Trading Members that starting Tuesday, November 12, 2024, the equity shares of Sagility India Limited will be listed and available for trading on the Exchange in the ‘B’ Group of Securities.
According to the notice, Sagility India shares will participate in a Special Pre-open Session (SPOS) on Tuesday, November 12, with trading commencing at 10:00 AM.
Sagility India's share price was listed on both the BSE and NSE stock exchanges.
Sagility India IPO , which opened for subscription on Tuesday, November 5, was booked 3.20 times on the last day of bidding on Thursday, November 7. The issue price band was set in the range of ₹28 to ₹30 per equity share, having a face value of ₹10. Anchor investors infused ₹945 crore into the company.
Stay Tuned for listing, more updates
Sagility Share Price Live Updates: Sagility India shares closed 6.31% lower at ₹29.10 on the National Stock Exchange (NSE) on Tuesday, November 12. The IPO made a tepid debut on the market and closed 3% lower than the IPO price on Tuesday.
On BSE, the shares closed 5.47% lower at ₹29.36, a discount of 2.13% from its IPO price.
Sagility Share Price Live Updates: The stock is trading at 4.54 per cent lower at ₹29.65 on the National Stock Exchange (NSE) and 4.76 per cent lower at ₹29.58 on the Bombay Stock Exchange, as of 3:20 pm on Tuesday, November 12.
As of June 30, 2024, the average length of relationship with its 5 largest client groups was 17 years. By January 2024, the company was catering to 5 of the top 10 Payers based on enrolment in the US. Additionally, during FY 2024 and 2023, as well as in the quarter that ended on June 30, 2024, the company acquired 22 new clients. In FY 2024, the company assisted its Payer clients in processing 105 million claims and managing over 75 million interactions with Members and Providers.
The stock was trading at ₹29.83 per share on NSE, marking a 3.96% decrease at 14:43 IST, and at ₹29.82 per share on BSE, showing a nearly 3.99% downside.
Achieve the benefits of listing the Equity Shares on the Stock Exchanges ;
Carry out the Offer for Sale of up to 70,21,99,262 Equity Shares of the face value of ₹10 each by the Promoter selling shareholder.
The company has provided services to half of the top ten payers in the United States. Additionally, the company enjoys strong client retention and loyalty. For example, its relationship with the third-largest client, which is part of the national top ten payers, has lasted more than a decade. Throughout this time, revenue generated from this client has experienced a compound annual growth rate (CAGR) of 20.6%, demonstrating a consistent increase in the company's share of the client's business.
Healthcare spending in the U.S. has experienced a compound annual growth rate (CAGR) of 5.0% from 2014 to 2023, totaling US$4.7 trillion ( ₹389.6 trillion) in 2023. It is projected to continue to grow at a CAGR of 5.5%, reaching US$6.1 trillion ( ₹509.8 trillion) by 2028. The healthcare market in the U.S. can be divided into two main entities concerning the financing and delivery of care.
In 2023, the spending on healthcare operations by these payers and providers was estimated at around US$201.1 billion ( ₹16.8 trillion). This expenditure is anticipated to grow to roughly US$258.9 billion ( ₹21.6 trillion) by 2028, fueled by factors such as an aging population, the rising incidence of chronic illnesses, and various government initiatives aimed at improving healthcare services, among others.
The stock was trading at ₹30.56 per share on NSE, marking a 1.61% decrease at 12:33 IST, and at ₹30.59 per share on BSE, showing a nearly 1.51% downside.
According to Arun Kejriwal, the founder of Kejriwal Research and Investment Services, the share price of Sagility India experienced a tepid debut, rising 5% but neither here nor there. A 5% increase does not provide enough assurance for either buying or selling the stock. It is advisable to let the stock stabilize, as one day isn’t sufficient, and to monitor what transpires tomorrow. If you have received shares and are holding onto them, you can continue to do so. If you did not apply for the shares and are considering investing, it's best to wait a day before making a decision.
1. Leader in large US Healthcare Payer and Provide Market.
2. Deep Domain Expertise enabling end to end service offerings.
3. Strategic Advantages with strong Promoter background.
4. Stable and Good Financial Performance with good set of margins.
The stock was trading at ₹31.47 per share on NSE, marking a 1.32% increase at 11:11 IST, and at ₹31.56 per share on BSE, showing a nearly 1.61% upside.
Sagility India Ltd made a decent debut on the stock market, listing at Rs. 31.06 per share, a 3.53% gain over its issue price of Rs. 30. While the IPO received a moderate subscription of 3.2 times, the listing performance is considered positive given the company's specific focus on the U.S. healthcare market, which is subject to various regulatory and economic factors. However, investors should remain cautious.
In summary, we believe that Sagility India Ltd presents an investment opportunity from a medium—to long-term perspective. Therefore, we suggest that investors who have received shares consider maintaining their positions with this outlook in mind.
The IPO from the Bengaluru-based company consists solely of an offer for sale of 70.22 crore shares valued at ₹2,106.60 crore at the highest end of the price range. Promoter Sagility BV is divesting its shareholding through this OFS.
The complete amount raised from the public offering will be directed to the selling shareholders.
The book running lead managers for the Sagility India IPO include ICICI Securities Limited, Iifl Securities Ltd, Jefferies India Private Limited, and J.P. Morgan India Private Limited, whereas Link Intime India Private Ltd serves as the registrar for the offering.
According to Shivani Nyati, Head of Wealth, Swastika Investmart Ltd, Sagility India made a decent debut on the stock market, listing at Rs. 31.06 per share, a 3.53% gain over its issue price of Rs. 30. While the IPO received a moderate subscription of 3.2 times, the listing performance is considered positive given the company's specific focus on the U.S. healthcare market, which is subject to various regulatory and economic factors.
However, investors should remain cautious. The company's reliance on a single market and the potential impact of U.S. policy changes could pose risks. Additionally, the high valuation and the nature of the IPO as a complete offer for sale (OFS) may limit upside potential.
Investors who participated in the IPO may consider holding their shares by keeping a stoploss around 28, but closely monitoring the company's performance and market dynamics is crucial.
The stock was trading at ₹31.80 per share on NSE, marking a 2.38% increase at 10:11 IST, and at ₹31.65 per share on BSE, showing a nearly 1.90% upside.
Sagility share price made a tepid debut on the bourses today. On NSE and BSE, Sagility share price today opened at ₹31.06 apiece, up 3.53% than the issue price of ₹30.
Sagility was established in July 2021 and, in January 2022, it acquired the healthcare services division of its predecessor, Hinduja Global Solutions. Sagility India is a provider of technology-driven, specialised healthcare solutions and services focused on Payers—U.S. health insurance companies that cover and reimburse health service costs—and Providers, primarily encompassing hospitals, physicians, and companies involved in diagnostic and medical devices.
The company has emerged as one of the largest technology-enabled healthcare specialists by revenue, with a presence across both payer and provider sectors. In the market for outsourced healthcare operations, the company held a 1.2% share in both 2022 and 2023.
The initial public offer of Sagility IPO was subscribed 3.20x on the last day of subscription, as per BSE data.
The initial share sale received bid for 1,24,00,17,000 shares against 38,70,64,594 shares on offer, according to BSE.
The portion for retail investors received 4.16 times subscription while the quota for non-institutional investors got subscribed 1.93 times. The qualified institutional buyers (QIBs) part is booked 3.52 times. The employee portion has been subscribed 3.75 times.
Sagility India IPO noted a subscription rate of 52% on the second day of bidding, and the issue was booked 22% on first bidding day.
"Financially, the company’s revenue from operations grew by 9.6% to Rs.1,223 crores for the quarter ended June 30, 2024, from Rs. 1,116 crores for the quarter that ended June 30, 2023, and by 12.69% to Rs. 4,753 crores in FY24 from Rs. 4,218.4 crores in FY23. We thus remain positive on the growth prospects of the company. Hence, we suggest investors allotted with the issue remain invested from a medium-term perspective. We will continue to track the operations and financials of the company and review our rating accordingly," said Prathamesh Masdekar, Research Analyst, StoxBox.
“We expect the issue to open at par with its upper price band. The muted debut could be driven by lower investor confidence due to the dampening in the IPO market after a long time (a few previous IPO listed for discount)," said Prathamesh Masdekar, Research Analyst, StoxBox.
Sagility India IPO GMP today is +0.30. This indicates Sagility India share price was trading at a premium of ₹0.30 in the grey market, according to investorgain.com.
Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Sagility India share price is indicated at ₹30.3 apiece, which is 1% higher than the IPO price of ₹30.
According to the past 15 sessions of grey market activities, the existing GMP ( ₹0.30) indicates a trend toward decline. The minimum GMP recorded is ₹0, whereas the maximum GMP reached is ₹3, as reported by experts at investorgain.com.
'Grey market premium' indicates investors' readiness to pay more than the issue price.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
