Jupiter Life Line Hospitals debuted at a premium of 31% on the exchanges on Monday, in line with expectations. Post the listing, the shares rallied further to Rs 1087, up 47% over the IPO price.
The IPO was well-received by investors, with the issue being subscribed 64.8 times, leading to healthy listing gains.
The company is a well-established multi-speciality healthcare provider in the western region of India, and it is planning to expand its operations in the future.
Analysts said investors who participated in the IPO can book profits.
«We advise investors to book profits now, while those who want to hold it for long term, may maintain a stop loss at around Rs 875,» said Anubhuti Mishra, Equity Research Analyst at Swastika Investmart.
The hospital began as a single hospital in Thane in 2007 and has been operating for over 15 years as a corporate quaternary care healthcare service provider in the western regions of India.
It currently operates in Thane, Pune and Indore under the Jupiter brand.
The company aims to be debt-free post the IPO. The proceeds from the issue will be utilized to the extent of Rs 464 crore for repayment of debt.
«We are going to pay down all the debt from the proceeds.