KIMS shares open at ₹1,009, 22% premium over IPO price

KIMS was quoting at ₹980 down ₹28.90 or 2.86 per cent on BSE and on NSE it was quoting ₹984.00, also down ₹25 or 2.48 per cent at 10:42am.

KIMS on Monday made a good debut at the bourses with shares listing at ₹1,009, up 22.29 per cent premium against its issue price of ₹825 per share on the National Stock Exchange (NSE). On BSE, KIMS shares got listed at ₹1,008.90 against the issue price of ₹825E. KIMS stock price started the day at ₹1,008.90 on BSE and on NSE it climbed 22.30 per cent to ₹1,009.

KIMS IPO was subscribed 3.86 times at a price band of ₹815-825 per share. (ANI Photo)

At 10:42am, KIMS was quoting at ₹980 down ₹28.90 or 2.86 per cent on BSE and on NSE it was quoting ₹984.00, also down ₹25 or 2.48 per cent.

"Going forward, we expect better operational performance with the break-even stage of four newly acquired hospitals having lesser payback period and are ready to serve customers from day zero. We believe KIMS is relatively valued cheaply at 17.1x FY21 EV/EBITDA in comparison to its peers," said Prabhudas Lilladher, according to Moneycontrol.

Most of the brokerages recommend investors subscribe to the issue for a long-term over the healthy industry growth prospects and KIMS, one of the largest corporate healthcare groups in Andhra Pradesh and Telangana in terms of the number of patients treated and treatments offered, strong track record.

The ₹2,144-crore KIMS IPO was subscribed 3.86 times at a price band of ₹815-825 per share. It opened for subscription for three days from June 16 to June 18. The portion meant for qualified institutional buyers (QIBs) was subscribed 5.26 times, that for retail individual investors (RIIs) 2.9 times and non-institutional investors 1.89 times.

KIMS has said the proceeds from the fresh issue will be used to repay the debt of the company and its subsidiaries.

(With agency inputs)