Medi Assist Healthcare Services Successfully Raises Rs 351.5 Crore from Anchor Investors Ahead of IPO

In a significant financial development, third-party insurance administrator Medi Assist Healthcare Services, backed by Bessemer Ventures and Investcorp, has secured Rs 351.5 crore from anchor investors in preparation for its upcoming initial public offering (IPO).


The company successfully allotted 84.08 lakh equity shares to 36 funds at Rs 418 each, the upper limit of the price band, as detailed in a circular on BSE’s website.


This strategic move resulted in the collection of Rs 351.47 crore from anchor investors.


Among the prominent participants in the anchor bidding were esteemed entities such as Goldman Sachs, Nomura, Jupiter India Fund, Pinebridge Global Funds, SBI Life Insurance Company, Bajaj Allianz Life Insurance Company, and Aditya Birla Sun Life Insurance Company.


The anchor investors also featured notable fund houses such as HDFC Mutual Fund, Kotak Mahindra Mutual Fund, Aditya Birla Sun Life Mutual Fund, Edelweiss Mutual Fund, Tata Mutual Fund, Sundaram Mutual Fund, and Bandhan Mutual Fund, among others.


The impending Rs 1,172-crore IPO will kick off on January 15 and conclude on January 17. This Offering For Sale (OFS) exclusively involves promoters and existing investors divesting 2.8 crore equity shares.


The IPO’s price band is decided to be Rs 397-418 per share. Key selling promoters include company chairman Vikram Jit Singh Chhatwal, Medimatter Health Management, Bessemer Health Capital, and Investcorp Private Equity Fund.


Medi Assist Healthcare Services has established a robust network encompassing over 18,000 hospitals across 1,069 cities and 31 states, with 35 insurers among its esteemed partners.


The company primarily caters to insurers, with a significant portion of its business derived from group covers and corporate clients, where it commands an impressive 30% market share.


Overall, including its retail operations, the company boasts a commendable 7% market share, according to statements from Chairman Vikram Jit Singh Chhatwal.


This successful funding round from anchor investors sets a positive tone for Medi Assist Healthcare Services as it gears up for its IPO.


The support from renowned institutional investors underscores confidence in the company’s financial health and strategic direction.


With a wide-ranging network and a strong foothold in the insurance sector, Medi Assist Healthcare Services is poised for a significant milestone as it embarks on its public offering journey.


Investors and market enthusiasts will closely watch the developments in the days leading up to and following the IPO, anticipating the impact on the company’s valuation and the broader market dynamics.