The Initial Public Offering (IPO) market continues to buzz with activity, and the upcoming launch from Gujarat Kidney & Super Speciality Limited (GKASSL) has certainly drawn attention. In the dynamic sector of healthcare, understanding the nuances of an IPO—from financial health to deployment of funds—is crucial for any prospective investor. This detailed analysis breaks down everything you need to know about this book-building issue hitting the Mainboard.
Understanding the Healthcare Provider: Gujarat Kidney & Super Speciality Ltd.
Incorporated in 2019, Gujarat Kidney and Super Speciality Limited is a dedicated player in the Indian healthcare landscape, focusing primarily on providing secondary and tertiary multispeciality care across various locations within Gujarat. Their operations are built upon a network of specialized medical facilities.
Core Operations and Infrastructure:
- The company manages seven multispeciality hospitals and four pharmacies across Gujarat.
- The total bed capacity stands at 490, with 340 beds currently operational.
- Services range from essential Secondary Care (general and surgical treatments) to advanced Tertiary Care (super speciality surgical procedures).
- The offering boasts pre-eminence in renal sciences, supported by established sub-specialities in urology.
Key IPO Subscription and Timeline Details
This is a book-building IPO aggregating ₹250.80 Crores, consisting entirely of a fresh issue of 2.20 crore equity shares. Here is the critical timeline for interested applicants:
Gujarat Kidney IPO Schedule at a Glance:
| Milestone | Tentative Date |
|---|---|
| IPO Opening Date | Monday, Dec 22, 2025 |
| IPO Closing Date | Wednesday, Dec 24, 2025 |
| Tentative Allotment Finalization | Friday, Dec 26, 2025 |
| Initiation of Refunds / Credit to Demat | Monday, Dec 29, 2025 |
| Tentative Listing Date (BSE, NSE) | Tuesday, Dec 30, 2025 |
Note: The UPI mandate confirmation cut-off time is 5 PM on the closing date, Dec 24, 2025.
Price Band and Investment Lot Size:
The price band for the Gujarat Kidney IPO is set between ₹108.00 and ₹114.00 per share.
- **Face Value:** ₹2 per equity share.
- **Minimum Lot Size:** 128 shares.
- **Minimum Retail Investment:** ₹14,592 (based on the upper price band).
Investor Category Allocation (Reservation):
| Investor Category | Percentage of Issue |
|---|---|
| Qualified Institutional Buyers (QIB) | Not less than 75% |
| Non-Institutional Investors (NII) | Not more than 15% |
| Retail Individual Investors (RII) | Not more than 10% |
Financial Health and Valuation Insights
The company's recent financial trajectory shows significant expansion. A key highlight is the substantial year-on-year growth:
Impressive Recent Financial Momentum (FY 2024 vs FY 2025):
- Revenue saw a notable surge of 637%.
- Profit After Tax (PAT) increased by an impressive 454% between the end of FY 2024 and FY 2025.
Key Performance Indicators (As of March 31, 2025):
| KPI | Value |
|---|---|
| Return on Equity (ROE) | 36.61% |
| Return on Capital Employed (ROCE) | 37.65% |
| Debt to Equity Ratio | 0.15 |
| PAT Margin | 23.61% |
Valuation Metrics Comparison:
The post-listing Price-to-Earnings (P/E) ratio appears significantly lower than the pre-listing P/E, suggesting potential upside if future earnings projections based on recent growth materialize.
| Metric | Pre-IPO | Post-IPO |
|---|---|---|
| EPS (Rs) | 1.85 | 2.74 |
| P/E (x) | 61.62 | 41.59 |
Promoter Structure and Ownership Dilution
The company is strongly promoter-held, which often signals high confidence in the business prospects. Post-IPO, a portion of this holding will be diluted to accommodate public participation.
- **Key Promoters:** Dr. Pragnesh Yashwantsinh Bharpoda, Dr. Bhartiben Pragnesh Bharpoda, Dr. Yashwantsingh Motisinh Bharpoda, and Anitaben Yashwantsinh Bharpoda.
- **Pre-Issue Promoter Holding:** 99.10%
- **Post-Issue Promoter Holding:** 71.45% (Indicating a significant dilution for public offering).
Deployment Strategy: Where Will the Funds Go?
The objectives outlined for the IPO proceeds demonstrate a clear strategy focused on both inorganic growth (acquisitions) and organic expansion (Capex).
Primary Use of Net Proceeds (Top Objectives):
| Objective | Estimated Amount (₹ in Cr.) |
|---|---|
| Acquisition of Parekhs Hospital, Ahmedabad | 77.00 |
| Capex for new hospital setup in Vadodara | 30.10 |
| Acquisition of additional stake in Harmony Medicare (Subsidiary) | 10.78 |
| Funding for unidentified acquisitions & General Corporate Purposes | (Remaining Balance) |
Key Intermediaries for the Public Issue
Choosing the right intermediaries is essential for smooth IPO processing:
Registrar and Lead Manager Details:
| Role | Name | Contact Detail Focus |
|---|---|---|
| Book Running Lead Manager (BRLM) | Nirbhay Capital Services Pvt.Ltd. | Past IPO Performance Analysis |
| Registrar to the Issue (RTI) | MUFG Intime India Pvt.Ltd. | Website/Email for Allotment Status |
Strategic Analysis: Strengths, Weaknesses, Opportunities, and Threats (SWOT)
A balanced view requires assessing both internal capabilities and external market dynamics:
Competitive Strengths:
- **Specialization:** Recognized expertise, particularly in renal sciences and urology.
- **Operational Efficiency:** Utilizes an asset-light business model, concentrating operations in the key central region of Gujarat.
- **Talent Acquisition:** Demonstrated ability to attract and retain skilled medical professionals.
- **Growth Track Record:** Solid performance history in both financial metrics and operational expansion.
Potential Weaknesses & Risks:
- **Concentration Risk:** Heavy reliance on the operations within Gujarat may expose it to regional regulatory or economic headwinds.
- **Key Personnel Dependency:** The high dependency on a few key promoters and specialist doctors could pose a risk if they depart.
- **Rapid Growth Pace:** The explosive growth in revenue and profit requires careful monitoring to ensure sustainability post-IPO.
Opportunities on the Horizon:
- **Strategic Acquisitions:** The IPO proceeds are earmarked for acquiring new hospitals (like Parekhs Hospital) and increasing stake in subsidiaries, promising rapid capacity addition.
- **Technology Adoption:** Investment in advanced equipment, such as robotics, positions the company well for competitive advantage in tertiary care.
- **Market Expansion:** The Indian healthcare sector continues to see increasing demand for quality secondary and tertiary services.
External Threats:
- **Regulatory Changes:** The healthcare sector is subject to frequent government policy changes regarding pricing and quality control.
- **Intense Competition:** Operating in established markets means facing competition from larger, established hospital chains.
How to Participate in the IPO
Investors looking to apply for the Gujarat Kidney IPO have standard application routes available through their brokerage accounts.
Application Methods:
- The application window is open from Dec 22 to Dec 24, 2025.
- Applications can be submitted online via the ASBA facility available through net banking portals of supporting banks.
- Alternatively, applications can be placed through brokers supporting the UPI mandate system. When applying via a broker, ensure timely mandate approval before the 5 PM deadline on the closing day.
When applying, remember the minimum lot size is 128 shares. For HNI investors, bids must be made in multiples of 14 lots (S-HNI minimum) or 69 lots (B-HNI minimum) depending on the capital invested.