Entero Healthcare Solutions Limited is launching its IPO. The opens for subscription on 9th February and will close on 13th February 2024.
What does Entero Healthcare Solutions do?
Incorporated in 2018, Entero Healthcare Solutions is engaged in the distribution of healthcare products.They are amongst the top three healthcare products distributors in India in terms of revenue in Financial Year 2022.
Company offers digital solutions such as the Entero Direct B2B application (Entero Direct), where customers have real-time visibility of their product range, pricing, inventory levels, order status, outstanding balances, promotional offers. Entero Direct can be used for order management 24 hours a day, seven days a week.
As of September 30, 2023, they have supply relationships with over 1,900 healthcare product manufacturers that gives them access to over 63,900 product stock-keeping units (SKUs) and also has nationwide presence of 77 distribution warehouses located across 38 cities in 19 states and union territories, and a customer base of over 73,700 pharmacies and 2,800 hospitals spread across 501 districts.
What is the issue size of the Entero Healthcare Solutions IPO?
The 1600 crore public offer of the company is a combination of a Fresh equity issue worth 1000 crore and an offer for sale (OFS) worth Rs. 600 crore from the existing shareholders.
Financials of Entero Healthcare Solutions Limited IPO (₹ crores)
| Financial Year | Total Assets | Total Revenue | Profit After Tax | EBITDA | EPS |
|---|---|---|---|---|---|
| March 31, 2021 | 833.79 | 1,783.67 | (15.35) | 21.54 | (5.29) |
| March 31, 2022 | 1,125.98 | 2,526.55 | (29.44) | 24.44 | (9.22) |
| March 31, 2023 | 1,308.73 | 3,305.72 | (11.10) | 64.01 | (3.10) |
Risk factors to consider:
Negative Cash flows: The company experienced negative cash flows from operating, investing, and financing activities in the past and may continue to do so in the future.
Acquisition strategy of the company: Since its inception, they have completed many acquisitions of distributors in India to expand the business and increase its customer base, and may continue to complete more acquisitions in the future. However, They may be unable to successfully realize the anticipated benefits of past or future acquisitions.
Schedule/Timeline of Entero Healthcare Solutions Limited IPO
| Issue Period | 9th February to 13th February 2024 |
|---|---|
| Price band | ₹ 1195 to 1258 |
| Minimum Bid quantity | 11 & Multiples thereof |
| Deadline for accepting UPI mandate | Until 5 PM on the issue closing day |
| Finalization of Allotment | February 14, 2024 |
| Initiation of Refunds | February 15, 2024 |
| Credit of Shares | February 15, 2024 |
| Date of Listing | February 16, 2024 |
| Mandate end date | February 28, 2024 |
| Anchor Investors Lock-In End Date (50% of the investment) | March 15, 2024 |
Anchor Investors Lock-In End Date (Remaining investment) May 15, 2024
Note: Given that the above schedule is tentative, it should be noted that the anchor lock-in period ends 30 days after the actual allotment date for 50% of the shares, and 90 days after for the remaining portion.
How to apply to the Entero Healthcare Solutions Limited IPO?
You can apply for the Entero Healthcare Solutions Limited IPO using any supported UPI app by following two steps:
- Enter your bid on Kite
- Accept the UPI mandate on your phone
On acceptance of the mandate, the bid amount will get blocked in your bank account. Click here to learn more.
How to check the allotment status for the Entero Healthcare Solutions Limited IPO?
You can check the allotment status for the Entero Healthcare Solutions Limited IPO on the website of the Registrar and Transfer agent.