Goodwill Hospital re-files DRHP, to raise Rs 98 cr via IPO

It withdrew its IPO in January this year due to poor investor response

Goodwill Hospital and Research Centre, which withdrew its IPO in January this year due to poor investor response, has again filed draft papers with market regulator Sebi for the public issue.

Goodwill Hospital, engaged in running a multi speciality hospital in Noida under the name "Ojjus Medicare", is planning to mop-up Rs 98 crore from the capital market through an initial public offering (IPO).

The healthcare firm said it is considering a pre-IPO placement for a cash consideration of Rs 30 crore, according to the Draft Red Herring Prospectus (DRHP) filed with Sebi last month.

Goodwill Hospital withdrew its IPO in January after the issue failed to get subscription of even 1% of its shares on sale. Goodwill was the first company to withdraw its IPO in 2012.

The IPO, through which the company was planning to raise Rs 62 crore, opened on December 30, 2011, and was to close on January 9, 2012. It had fixed a price band at Rs 175-185 per share of face value Rs 10 each.

In addition, packaging materials maker Plastene India and auto parts manufacturer Samvardhana Motherson Finance, have shelved their IPOs since the beginning of this year due to poor response from investors amid volatile market.

In 2012, at least 17 companies had to give up the approvals they had obtained from the securities market regulator for their IPOs, according to SMC Global Securities.

The book running lead manager to the Rs 98 crore IPO of Goodwill Hospital is SPA Merchant Bankers.

The company intends to use the proceeds to set up a diagnostic center at Faridabad and eight polyclinics among others. The company's shares would be listed on the NSE and the BSE.

For the period of 10 months ended on January 31, 2010, the company reported consolidated net profit of Rs 11.08 crore on total income of Rs 51.61 crore. For financial year 2010-11, it had posted net profit of Rs 15.71 crore on total income of Rs 53.58 crore.