Suraksha Diagnostics’ stock opened at ₹437 and ₹438 on the BSE & NSE respectively, slipping 0.90% & 0.68% respectively below its issue price. During the day, it hit a low of ₹414.80, registering a 5.94% decline, before closing at ₹417.95, down 5.22%. and at ₹417.05, reflecting a 5.43% drop respectively in BSE and NSE.
Suraksha Diagnostic’s Ltd’s initial public offering (IPO) saw a modest response, achieving a subscription of 1.27 times on the final day of the share sale on Tuesday.
The ₹846-crore IPO was priced within a range of ₹420-441 per share.
The issue was entirely an offer for sale (OFS) by promoters and investor shareholders, comprising 19,189,330 equity shares worth ₹846.25 crore at the upper end of the price band. Notably, the IPO did not include any fresh equity issuance.
Based in Kolkata, Suraksha Diagnostic’s provides a range of pathology, radiology, and medical consultation services. As of March 31, 2024, its network included a flagship central reference laboratory, eight satellite laboratories, and 194 customer touchpoints, encompassing 48 diagnostic centers and 146 largely franchised sample collection centers across West Bengal, Bihar, Assam, and Meghalaya.
OTHER KEY STAKEHOLDERS:
India’s diagnostic sector is rapidly expanding, driven by increasing health awareness, the growing prevalence of chronic diseases, and improved healthcare access. Key listed players like Dr. Lal PathLabs, Metropolis Healthcare, Thyrocare Technologies, Vijaya Diagnostic Centre, and Krsnaa Diagnostics are playing pivotal roles in this growth. These companies offer a wide range of pathology and radiology services, focusing on affordability, technological integration, and expansion into underserved regions. While the industry faces challenges like intense competition and regulatory compliance, the growing demand for preventive care and digital diagnostics presents significant opportunities for further growth and innovation in the sector.
| Company Name | MCap (Cr)(TTM) | CMP | 1D Change % | PE (TTM) | ROE (TTM) |
| Dr Lal Pathlabs Ltd | ₹ 24,949 | ₹ 3,068.05 | +2.77 % | 62.15 | 20.05 % |
| Vijaya Diagnostic Centre Ltd | ₹ 11,782 | ₹ 1,141.95 | -0.45 % | 87.84 | 18.29 % |
| Metropolis Healthcare Ltd | ₹ 10,777 | ₹ 2,135.5 | +1.68 % | 72.82 | 12.50 % |
| Thyrocare Technologies Ltd | ₹ 5,357.1 | ₹ 1,015.9 | +0.56 % | 63.80 | 17.20 % |
| Krsnaa Diagnostics Ltd | ₹ 3,217.35 | ₹ 980.45 | -1.63 % | 46.47 | 8.15 % |
| One Global Service Provider Ltd | ₹ 186.09 | ₹ 275.2 | +5.00 % | 19.66 | 51.35 % |
| Aspira Pathlab & Diagnostics Ltd | ₹ 74.08 | ₹ 70.54 | -1.99 % | 0.00 | 0.00 % |
| Medinova Diagnostic Services Ltd | ₹ 42.05 | ₹ 41.55 | -1.38 % | 21.83 | -87.16 % |
| Nidan Laboratories & Healthcare Ltd | ₹ 39.62 | ₹ 28.2 | -1.05 % | 0.00 | 2.85 % |
| Gian Lifecare Ltd | ₹ 21.48 | ₹ 20.73 | -0.19 % | 5.51 | 19.99 % |
| Clinitech Laboratory Ltd | ₹ 16.19 | ₹ 78.89 | +11.19 % | 44.62 | 5.49 % |
| Dr Lalchandani Labs Ltd | ₹ 7.58 | ₹ 16.75 | -4.23 % | 0.00 | 8.85 % |
| Dolphin Medical Services Ltd | ₹ 4.35 | ₹ 2.88 | +4.73 % | 0.00 | -0.98 % |
NOTE:
1. MCap (Cr) (TTM):
- MCap (Cr): Refers to the Market Capitalization of a company, measured in crores. It is calculated as the total number of outstanding shares multiplied by the current market price of a single share.
- (TTM): Stands for Trailing Twelve Months, indicating that the value is based on data from the past 12 months.
2. CMP:
- Stands for Current Market Price. It is the latest price at which a stock is traded on the stock exchange.
3. 1D Change %:
- Refers to the 1-Day Change Percentage, showing the percentage change in the stock’s price compared to its closing price on the previous trading day.
4. PE (TTM):
- Price-to-Earnings Ratio (Trailing Twelve Months): It measures the current share price relative to the earnings per share (EPS) over the past 12 months. It helps investors understand how much they are paying for each unit of earnings.
5. ROE (TTM):
- Return on Equity (Trailing Twelve Months): A measure of financial performance calculated by dividing net income over the last 12 months by shareholders’ equity. It shows how effectively a company is using its equity to generate profits.
CONCLUSION:
Ahead of the IPO opening, Suraksha Diagnostics’ has raised ₹253.87 crore from 12 institutional investors, including, Nippon Life India, Kotak Mutal Fund, Aditya Birla Sun Life Trustee, and Quant Mutual Fund, among others. Incorporated in 2005, Suraksha Diagnostic offers pathology, radiology testing and medical consultancy services. The company has a central reference laboratory with 8 satellite laboratories and 215 customer touchpoints, including 49 diagnostic centres and 166 sample collection centres as of June 30, 2024, across West Bengal, Bihar, Assam, and Meghalaya.
Suraksha Diagnostics’ plans to invest ₹70 crore every year for the next three-four years to open four-five big centres and 10-12 smaller centres every year. This would be funded from internal accruals.
In financial year 2024, Suraksha’s revenues improved to ₹219 crore as against ₹190 crore in the year-ago period.Meanwhile profit after tax grew multifold to ₹23 crore.
ICICI Securities Ltd, Nuvama Wealth Management Ltd and SBI Capital Markets Ltd were the book running lead managers to the IPO, while Kfin Technologies Ltd was the registrar.
