Shares of Sahajanand Medical Technologies made a decent stock market debut on Friday, October 23, following a strong response to the company’s ₹475.48-crore initial public offering (IPO), which was subscribed 14.20 times overall.
The stock listed at ₹371.15 on the NSE, a premium of 7.89% over its IPO price of ₹344. On the BSE, it opened at ₹368.05, up 6.99% over the issue price.
In the grey market, Sahajanand Medical Technologies shares were commanding a premium of nearly 5% on October 23, according to InvestorGain.
However, the grey market premium (GMP) is an unofficial indicator of investor sentiment and does not guarantee listing gains. The actual listing price may differ from these estimates.
The IPO closed on October 19 with bids for 13,84,72,771 shares against 97,50,482 shares on offer, according to data from the National Stock Exchange (NSE).
The Qualified Institutional Buyers (QIBs) category led demand, with its allotted portion subscribed 34.70 times. The Non-Institutional Investors (NIIs) segment was subscribed 14.64 times, while the Retail Individual Investors (RIIs) category received bids for 3.03 times the shares reserved for it.
The IPO was priced in a band of ₹327-344 per share. At the upper end of the price band, Sahajanand Medical Technologies is targeting a post-issue market capitalisation of around ₹3,497 crore.
Sahajanand Medical Technologies is a medical devices company focused on developing Class III and Class C/D medical devices, with an emphasis on vascular intervention and structural heart treatments.
Its portfolio includes coronary intervention products, transcatheter aortic valve implantation (TAVI) devices, occluders, renal stents under its own brand, peripheral drug-coated balloons (DCBs) and trading products.
Key risks highlighted for the company include raw material-related risks, technological challenges in a highly competitive medical devices market and regulatory risks.
According to SBI Securities, the company reported a net loss of ₹12.8 crore in FY24 before returning to profitability in FY25. Its net profit rose to ₹65.3 crore in FY26.
At the upper end of the IPO price band, the issue is valued at 53.6 times its FY26 price-to-earnings (P/E) multiple. Citing the valuation and the need to assess the company’s performance over the next few quarters after listing, SBI Securities has assigned a ‘Neutral’ rating to the IPO.