According to the DRHP, the proposed IPO of the Hyderabad-based company is a combination of a fresh issue of equity shares and an offer for sale (OFS) of up to 1.27 crore equity shares by the selling shareholders.
As part of the OFS, the promoter selling shareholders include Investcorp Private Equity Fund II, Healthcare Parent Limited, Investcorp Growth Opportunity Fund and Edoras Investment Holdings Pte. Ltd. and Other Selling Shareholders include Investcorp India Private Equity Opportunity Limited, International Finance Corporation, 360 One Special Opportunities Fund – Series 9 and 360 One Special Opportunities Fund – Series 10.
The company is in consultation with the Book Running Lead Managers (BRLMs) and may consider a pre-IPO Placement aggregating up to Rs 70.6 crore prior to filing of the Red Herring Prospectus (RHP) with the ROC. If the pre- IPO placement is undertaken, then the fresh issue will be reduced to the extent of such pre-IPO placement.
About Nephrocare Health Services
Known for its brand NephroPlus, the company claims to be Asia’s largest dialysis services provider and fifth largest globally in terms of number of treatments performed in Fiscal 2025, citing F&S report. Incorporated in 2009, NephroPlus has 447 clinics across 269 cities in 21 states and 4 Union Territories. It serves more than 33,000 patients globally on an annual basis and has a revenue market share of over 50% in India’s organised market (in terms of number of treatments), the draft filing said.
It has also expanded its international footprint to include Philippines (34 clinics), Uzbekistan (4 clinics), Nepal (5 clinics) and has entered the Middle East market through the Kingdom of Saudi Arabia recently.
Vikram Vuppala, BVP (Bessemer Venture Partners) Trust, Edoras Investment Holdings Pte. Ltd., Healthcare Parent Limited (HPL), Investcorp Private Equity Fund II (IPEF II) and Investcorp Growth Opportunity Fund (IGOF) are the promoters of the company.
Nephrocare Health Services proceeds utilisation
NephroPlus has proposed to utilise the net proceeds of the fresh issue towards capital expenditure to the tune of Rs 129.1 crore for opening new dialysis clinics in India. It will use Rs 136 crore for pre-payment or scheduled repayment of certain borrowings availed by the company and rest on general corporate purposes.
In FY25, NephroPlus reported revenue from operations of Rs. 755.8 crore and profit after tax of Rs. 67 crore.
Currently, kidney disease is the third fastest-growing cause of death globally and diabetes and hypertension have been recognized as the two leading drivers of chronic kidney disease (CKD). Rapid urbanization and lifestyle changes have further contributed to the increased incidence of CKD.
ICICI Securities Limited, Ambit Private Limited, IIFL Capital Services Limited and Nomura Financial Advisory and Securities (India) Private Limited are the Book Running Lead Managers to the issue.
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