Park Medi World vs Nephrocare Health IPO: Where should you park your money?

The initial public offerings (IPOs) of Park Medi World and Nephrocare Health Services opened for public subscription on Wednesday, December 11, 2025, drawing investor attention to healthcare, one of India’s fast-growing sectors. As the issues are in their second day, subscription trends show muted early traction for Park Medi World, which has been subscribed to 81 per cent, and Nephrocare Health also received a moderate 31 per cent overall subscription so far. Both companies operate in different corners of the healthcare sector, but each is positioned in a fast-growing segment - multi-speciality hospitals and dialysis services.

GMP shows strong interest in Park Medi World IPO

Park Medi World is witnessing the strongest demand in the grey market, with its unlisted shares trading at ₹172.5, commanding a premium of ₹10.5 or 6.5 per cent over the upper end of the price band of ₹154 to ₹162. Nephrocare Health was trading with a moderate GMP of ₹20 or 4.35 per cent at ₹480 compared to the upper end of the price band of ₹438 to ₹460. 

 

Here’s how brokerages are evaluating the two IPOs:

Park Medi World IPO: Positioned for sector-wide expansion

Analysts broadly have a positive view of Park Medi World, given the strong outlook for India’s healthcare delivery market and the company’s expansion strategy. According to Mastertrust, the Indian healthcare industry has grown from ₹3.9 trillion in FY19 to around ₹6.3 trillion in FY24, a CAGR of around 10 per cent. It is projected to reach up to ₹9.8 trillion by FY28. As healthcare penetration improves, driven by government schemes like PMJAY and rising incidence of lifestyle diseases, companies with scalable networks are expected to benefit, the brokerage said. CAGR stands for compounded annual growth rate.

 

The brokerage highlighted Park Medi World’s multi-super speciality hospital chain, advanced medical technology, and patient-centric approach as key enablers of long-term growth. With healthcare delivery projected to expand at a 10–12 per cent CAGR through FY29, analysts believe the company is well-positioned to capture demand and consider the IPO a potential long-term investment opportunity.  ALSO READ | Corona Remedies IPO allotment today; check status, GMP, tentative listing 

Likewise, Arihant Capital pointed to Park Medi World's strong regional leadership and cluster-based network strategy in underserved North Indian markets. Its proven ability to acquire and integrate hospitals efficiently, combined with operational standardisation and a capital-efficient infrastructure model, supports sustainable scale-up without significantly elevating execution risk, the brokerage noted. At the upper price band of ₹162, the issue is valued at 25.14x FY26 annualised earnings. Arihant has assigned a ‘Subscribe’ rating for the issue.

 

Choice Equity Broking also pointed to Park Medi’s strong profitability with an Ebitda margin of 26.5 per cent and PAT margin of 15.9 per cent, above the industry averages of 22.1 per cent and 12.6 per cent, respectively. Analysts said the company’s strategy of using IPO proceeds for debt repayment would lower interest costs, improve the debt-to-equity ratio (currently 0.42), and free up cash for expansion. The brokerage recommended a “Subscribe” rating. Ebitda stands for earnings before interest, tax, depreciation and amortisation.

Nephrocare Health IPO: Dominant player with an asset-light model

Nephrocare Health, India and Asia’s largest dialysis network, presents a different healthcare play: chronic care services with recurring patient demand. In its research note, Geojit Investments said that at the upper price band of ₹460, the IPO is valued at 29x FY25 EV/Ebitda, which is reasonable compared with peers. The company’s strategy includes expanding its dialysis footprint across tier-II and tier-III cities through greenfield centres, brownfield expansions, and hospital partnerships. Geojit recommends investors to ‘Subscribe’ from a long-term perspective.  ALSO READ | Wakefit Innovations IPO allotment today; check status, GMP, listing date 

Choice Equity Broking highlighted Nephrocare’s capital-efficient, asset-light model, standardised treatment protocols, and disciplined expansion, both domestically and internationally. The brokerage recommended a “Subscribe for Long Term” rating, adding that the IPO is fairly priced at a discount to peers with low debt and proceeds earmarked for clinic expansion.

 

According to analysts at Anand Rathi, Nephrocare’s scale advantage, asset-light operating model, and standardised treatment protocols, together support strong operational efficiency. The brokerage valued the company at 60.2x FY25 earnings and 26x EV/Ebitda, and assigned a ‘Subscribe — Long Term’ rating, noting the IPO is fully priced.

 

Disclaimer: View and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard. Readers discretion is advised.