ABH Healthcare IPO books 83% of shares as institutional investors lead demand
India’s ABH Healthcare has secured 83 percent subscription in its initial public offering by day three, driven by qualified institutional buyer demand, signaling steady market appetite for regional healthcare providers despite a flat grey market premium.
The initial public offering of ABH Healthcare Ltd reached 83 percent subscription on its third day, driven primarily by institutional interest. The company is offering 34.29 lakh equity shares entirely as a fresh issue, with the bidding window closing on Thursday.
Qualified institutional buyers have subscribed 8.37 times their allotted portion, indicating robust professional confidence. Conversely, the non-institutional and retail segments remain more subdued at 49 percent and 73 percent subscribed, respectively.
Despite this institutional backing, the grey market premium currently sits at zero. Shares are trading at the upper end of the ₹96 to ₹102 price band, reflecting a cautious market valuation for the SME-listed entity. Bids must be placed in lot sizes of 1,200 equity shares.
Investors are closely weighing the company’s recent financial trajectory. The company reported consolidated revenue growth from ₹41.38 crore in FY24 to ₹52.51 crore in FY26. During this period, profit after tax more than tripled, rising from ₹1.66 crore to ₹5.64 crore.
The capital raised will target balance sheet optimization and future expansion. Management plans to allocate ₹17 crore toward debt repayment and ₹5 crore for working capital. Residual funds are earmarked for unidentified acquisitions and general corporate purposes.
Operating under the Anil Baghi Hospital brand, the 2021-incorporated provider runs a 150-bed multi-speciality facility. It covers 25 medical disciplines and maintains empanelment with major government schemes, including Ayushman Bharat and the Ex-Servicemen Contributory Health Scheme.
Management emphasizes operational continuity alongside its public market ambitions. Managing Director Saurabh Baghi stated, “As we enter the next phase of our journey as a listed company, we remain focused on strengthening our clinical capabilities, enhancing patient care and building on the trust that Anil Baghi Hospital has established over the years.”
Share allotment is scheduled for Friday, 28 August, with trading expected to commence on the NSE SME platform on Tuesday, 1 September. Fedex Securities Pvt Ltd is acting as the book-running lead manager for the issue. The muted grey market activity suggests investors are waiting for post-listing operational performance rather than pricing in immediate short-term gains.
