Paras Healthcare Files IPO Papers With SEBI For ₹1,800 Crore Public Issue

Paras Healthcare Ltd, which operates hospitals under the Paras Health brand, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to launch an initial public offering (IPO) worth ₹1,800 crore. The proposed public issue consists of a fresh issue of equity shares aggregating up to ₹500 crore and an Offer for Sale (OFS) of up to ₹1,300 crore by existing shareholders.

According to the DRHP, the selling shareholders in the OFS include promoter Dr. Dharminder Kumar Nagar and other investors. The Gurugram-headquartered hospital operator plans to utilise the proceeds from the fresh issue primarily for prepayment or repayment of outstanding borrowings, investment in its wholly owned subsidiary Paras Medical Health Private Ltd (PMHPL) for debt repayment, and general corporate purposes.

Hospital Network And Fund Utilisation

Paras Healthcare is one of North India’s leading hospital chains and currently operates eight hospitals with an aggregate capacity of 2,211 beds across five states and one Union Territory. Its healthcare network spans Gurugram, Panchkula, Patna, Darbhanga, Kanpur, Udaipur, Ranchi and Srinagar. The company was established in 2006, with its first hospital launched in Gurugram.

Paras Healthcare IPO DRHP indicates that approximately ₹320.90 crore from the fresh issue proceeds will be used towards debt repayment, while ₹54.10 crore will be invested in PMHPL, which operates the Srinagar facility.

Shareholding Structure And Listing Plans

Paras Healthcare's promoter, Dr. Nagar, held a 72.80% pre-issue shareholding as per the filing. The company has appointed JM Financial, BofA Securities India and Nuvama Wealth Management as the book-running lead managers to the issue, while MUFG Intime India Pvt Ltd has been named as the registrar. The equity shares are proposed to be listed on both the NSE and BSE.

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The filing marks a significant increase from the company’s earlier IPO proposal submitted in 2024, which had envisaged a ₹400 crore fresh issue along with a smaller OFS component. The latest filing reflects a substantially larger capital market offering amid growing investor interest in India's healthcare sector.

Source:

ET Health