The ₹1,450-crore IPO for Paras Healthcare achieved 2.23 times subscription on its final day of bidding on October 23, receiving bids for 2,69,43,378 shares against 1,20,83,331 shares on offer as per BSE data. The issue received strong institutional backing with qualified institutional buyers subscribing 3.09 times their allocation, while retail investors subscribed 2 times their portion. Institutional investors led demand by bidding for 2,03,81,592 shares against an allocation of 65,90,908 shares, accounting for about 76% of total demand recorded in the exchange's schedule. The non-institutional investor category garnered 66% subscription, with applications above ₹10 lakh subscribing 59% and the ₹2-10 lakh segment at 80% subscription, as per BSE data.
The Paras Healthcare IPO continues to command a grey market premium of ₹9 per share, representing a significant decline from its previous levels of ₹25 on October 22 and ₹95 or 13.71% on October 15. Based on current GMP trends, the estimated listing price for Paras Healthcare IPO is likely to be ₹687, indicating a potential listing gain of ₹525 on one lot of 21 shares. The allotment for Paras Healthcare is expected to be finalised on October 26, while the listing on exchanges, NSE and BSE, is likely to be on October 28, as per the tentative schedule. A retail applicant needs to apply for at least one lot containing 21 shares, with the minimum investment requirement being ₹14,553 at the upper end of the price band. The GMP is an unofficial indicator of market sentiment and does not guarantee the actual listing price or listing gains, as it may fluctuate before the shares debut on the stock exchanges.
Ahead of the IPO, Paras Healthcare successfully raised ₹652.5 crore through its anchor book, with the company allotting 94,15,584 shares at ₹693 each to 39 anchor investors on October 19. Global investors participating in the anchor book included the Abu Dhabi Investment Authority, BlackRock Global Funds, Government Pension Fund Global, Integrated Core Strategies Asia, Norway's Government Pension Fund Global, and schemes of SBI, HDFC, ICICI Prudential, Kotak and WhiteOak Capital. The anchor book participation demonstrates strong institutional confidence in the company's growth prospects and expansion strategy. JM Financial, BofA Securities India and Nuvama Wealth Management serve as the book-running lead managers to the IPO, with MUFG Intime India Pvt. Ltd. as the registrar. The book-built offering comprises a fresh issue of ₹500 crore and an offer for sale of ₹950 crore, with the price band fixed at ₹660–693 per share.
Gurugram-based multi-specialty hospital operator Paras Healthcare has announced ambitious expansion plans to increase its bed capacity to 3,011 beds by March 31, 2028. The company will add 300 beds at a new facility in Gurugram's New Gurgaon extension and another 500 beds in Ludhiana, Punjab, as reported by CNBC TV18. Managing Director Dharminder Kumar Nagar stated that the investments made over the past few years were beginning to deliver results, putting the company at an important stage in its growth journey. The expansion will increase operational bed capacity by around 36% from current levels, with the additional capacity specifically designed to cater to rising patient demand, particularly in Gurugram where occupancy has crossed 80%. The two hospitals are expected to become operational in the current and next financial years, respectively, aimed at increasing the company's hospital capacity and strengthening its presence in key healthcare markets.
The healthcare provider demonstrated impressive financial recovery, posting a net profit of ₹43.83 crore in FY26, reversing a ₹57.98 crore loss in the previous year. Consolidated revenue increased at a compounded annual rate of 24.1%, growing from ₹1,308 crore in FY25 to ₹1,605.95 crore in FY26. EBITDA rose 47.4% at an annualized rate to ₹336 crore. The company's bed occupancy showed remarkable improvement, increasing from 50.78% in FY25 to 61.75% in FY26, while total annual inpatient volumes increased to 1,15,496 from 93,170. In the latest Q1FY27, revenue increased 27.7% year-on-year to ₹470 crore while EBITDA surged 71.1% to ₹113 crore, with EBITDA margin reaching 23.7%. The company has also reported a profit after tax (PAT) of ₹50 crore in Q1FY27, according to Nagar's recent statements. Paras Healthcare specialises in cardiac sciences, oncology, neurosciences, gastro sciences, orthopedics & sports injury, and renal sciences (CONGOR specialties), which contributed 75.30% of revenue in Fiscal 2026. As of March 31, 2026, the company had 4,670 employees, including 1,084 doctors and 1,937 nurses.
The public issue comprises a fresh issue of shares worth ₹500 crore and an offer for sale of ₹950 crore, taking the total issue size to ₹1,450 crore. The price band has been fixed at ₹660–693 per share. Under the OFS, promoter Dharminder Kumar Nagar will sell shares worth ₹300 crore, while Commelina, an affiliate of private equity firm Creador, will offload shares worth ₹650 crore. The company plans to utilize ₹320.9 crore from the fresh issue for repayment or prepayment of company borrowings, with ₹54.1 crore supporting debt repayment at subsidiary PMHPL, and the remaining net proceeds for general corporate purposes. As of the latest reporting, the company had net bank debt of ₹550 crore. The proposed debt repayment is expected to bring down the company's debt substantially, with management indicating that interest savings of around ₹30-35 crore in FY28 could support profitability and provide greater financial flexibility as the company invests in expansion plans. The objectives for the fresh issue include ₹309 crore for payment of certain borrowings, with ₹54.1 crore for investment in a wholly owned subsidiary and the remaining amount for general corporate purposes.
