Entero Healthcare Solutions' Rs 1,600 cr IPO to open on February 9

Healthcare products distributor Entero Healthcare Solutions on Tuesday said it has fixed a price band of Rs 1,195-1,258 a share for its Rs 1,600 crore Initial Public Offering (IPO).

The initial share sale will open for public subscription on February 9 and conclude on February 13 and the bidding for anchor investors will open on February 8, the company said.

Entero Healthcare's IPO is a combination of a fresh issue of equity shares worth up to Rs 1,000 crore and an Offer For Sale (OFS) component of 47.69 lakh equity shares aggregating up to Rs 600 crore at the upper end of the price band.

Those selling shares in OFS include Prabhat Agrawal, Prem Sethi, and OrbiMed Asia III Mauritius Ltd.

Proceeds from the fresh issue will be used towards payment of debt, funding working capital requirements, pursuing inorganic growth initiatives through acquisitions and general corporate purposes.

Entero Healthcare Solutions was founded in 2018 by Prabhat Agarwal and Prem Sethi. The company claims to be among the top three healthcare product distributors in India in terms of revenue in FY22.

The company said that 75 per cent of the issue size has been reserved for qualified institutional buyers, 15 per cent for non-institutional investors and the remaining 10 per cent for retail investors.

ICICI Securities Ltd, DAM Capital Advisors Ltd, Jefferies India Private Ltd, JM Financial Ltd and SBI Capital Markets Ltd are book-running lead managers to the offer.