Pharma, healthcare firms eye Rs 13,000-cr IPO wave over 9 months

Mumbai: India's pharmaceutical and healthcare sector is gearing up for a fundraising spree through initial public offerings (IPOs), seeking to raise an estimated ₹12,000-13,000 crore over the next six to nine months.

According to data compiled by ET, 15 companies in this sector are expected to hit the primary market soon. The Securities and Exchange Board of India (Sebi) has draft red herring prospectuses (DRHPs) of Indira IVF, which refiled in July for an about ₹3,500-crore issue size, and Sahajanand Medical Technologies, which filed for a ₹1,500-crore issue.

Other notable filings include NephroPlus (about ₹2,000 crore), Molbio Diagnostics ₹200 crore) and Cotec Healthcare (₹500 crore). Sudeep Pharma, which submitted draft papers in June, plans to raise ₹95 crore, while Gaudium IVF and Women Health is expected to refile for about ₹500 crore.


Several companies have received Sebi's approval, including Rubicon Research, which is looking to raise ₹1,085 crore and Corona Remedies (₹800 crore).

Fertility, Women's Health in Focus
Others who have received the green light include Paramesu Biotech (₹600 crore), Allchem Lifesciences (₹190 crore), Paras Healthcare (about ₹900 crore), Veeda Clinical Research (about ₹500 crore) and Gujarat Kidney and Superspeciality Hospital (₹128 crore).

Genetix Biotech is planning to file for an IPO soon.

Emails sent to the companies remained unanswered.

The flurry of approvals and filings reflects the trends shaping the sector, particularly in segments such as fertility and women's healthcare, according to experts.

"We are seeing a strategic shift, particularly within the assisted reproductive technology (ART) sector," said Saurav Chaube, research analyst at Samco Securities. "The growing investor interest is driven by compelling market fundamentals, including rising infertility awareness, favourable demographics and a projected CAGR (compound annual growth rate) of around 15% over the next decade."

Companies such as Indira IVF and Gaudium IVF have filed through the confidential route, signalling a maturing market, where players seek to optimise their public offerings by minimising early scrutiny and opportunist litigation, according to Chaube.

While the ART segment draws investor attention domestically, broader macro trends are also supporting the pharma and healthcare listing wave.

Samir Bahl, chief executive of Anand Rathi Advisors, said global markets have increasingly focused on pharma and healthcare since Covid-19, with countries such as the US and India ramping up investments in pharma and biotech innovation.

"As supply chains diversify away from China, Indian pharma companies seem well positioned to leverage their cost advantage, capitalise on export opportunities and raise capital for R&D in biosimilars, specialty drugs, etc," he said.

Further, Bahl said, Indian pharma companies are commanding high price-to-earnings ratios, signalling favourable valuations and keen investor interest in the pharma and healthcare sector.