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Writer's pictureJatin Agarwal

Medi Assist Healthcare IPO



Medi Assist Healthcare IPO

Medi Assist Healthcare IPO: Revolutionizing Health Benefit Administration


Company Overview

Medi Assist Healthcare Services Limited, founded in 2002, stands as a prominent health-tech and insurance-tech company in India. Specializing as a third-party administrator (TPA) in the health insurance sector, the company has built a comprehensive network, connecting insurance companies, healthcare providers, and policyholders. With over 18,754 hospitals in its network across India and 141 countries worldwide, Medi Assist plays a crucial role in the health benefits ecosystem.


Company Financials

The financial performance of Medi Assist Healthcare reflects a strong and growing business. In the fiscal year ending March 2023, the company reported a substantial increase in revenue and profit. Notably, the total assets amounted to Rs 7,057.16 million, with liabilities at Rs 3,220.44 million. The basic EPS was at 10.94.


Company SWOT Analysis

  • Strengths: Market leadership in TPA services, extensive network, scalable tech infrastructure.

  • Weaknesses: High reliance on top clients, competitive TPA industry.

  • Opportunities: Growing health insurance market post-COVID-19, expansion of services.

  • Threats: Regulatory changes, potential loss of key clients, shifts in insurance industry trends.


IPO Overview

Medi Assist Healthcare's IPO marks a significant step towards enhancing its market presence and capital base.


IPO Details

  • IPO Date: January 15 to January 17, 2024

  • Listing Date: January 22, 2024

  • Price Band: ₹397 to ₹418 per share

  • Issue Size: ₹1,171.58 Crores (Offer for Sale)

  • Lot Size: 35 Shares

  • Minimum Investment: ₹14,630 (Retail)

  • Lead Managers: Axis Bank, IIFL Securities, Nuvama Wealth Management, SBI Capital Markets

  • Registrar: Link Intime India Pvt Ltd


Objectives of the Issue

The IPO aims to provide liquidity to existing shareholders and enhance the company's brand and market visibility. No proceeds from the offer will go to the company.


IPO Grey Market Premium (GMP)

The GMP for Medi Assist Healthcare's IPO is around 15%


Conclusion for IPO

Medi Assist Healthcare's IPO presents an opportunity in the health benefits administration sector, offering potential growth in the wake of increasing health insurance demand in India. Investors should carefully consider the company's market position, financial health, and the evolving health insurance landscape.

However, the GMP is weak and investors need to be careful.


Disclaimer

All information is provided for educational and informational purposes only. Data is sourced from publicly available sources such as the DRHP filed by the company and other reliable sources. The website or the author takes no guarantee for the accuracy of the data; however, we have tried our best to present accurate data to our readers. Please consult a financial advisor or do your own analysis before investing/trading in the stock market.

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