Jupiter Life Line Hospitals Limited is gearing up to kick off its Initial Public Offering (IPO) on September 6, 2023. If you’re considering investing in this IPO, you may be pondering whether it’s a smart choice. In this thorough article, we will furnish you with all the crucial information, dates, advantages, disadvantages, and an extensive assessment of the Jupiter Life Line Hospitals IPO. Armed with this knowledge, you can make an informed decision on whether or not to buy or subscribe to this IPO.
Jupiter Life Line Hospitals IPO Details
|IPO Open||September 6, 2023|
|IPO Close||September 8, 2023|
|IPO Price||₹695 – ₹735|
|IPO Size||₹869.08 Cr|
|Listing At||BSE, NSE|
Jupiter Hospital IPO Dates and Timetable
|IPO Opens on||06-Sep-23|
|IPO Closes on||08-Sep-23|
|Basis of Allotment||13-Sep-23|
|Initiation of Refunds||14-Sep-23|
|Credit of Shares to Demat||15-Sep-23|
|Cut-off time for UPI mandate confirmation||08-Sep-23|
About Jupiter Life Line Hospitals Ltd
Jupiter Life Line Hospitals Ltd, established in 2007, is a prominent multi-specialty tertiary and quaternary healthcare provider primarily serving the Mumbai Metropolitan Area (MMR) and the western region of India.
The company operates three hospitals under the “Jupiter” brand located in Thane, Pune, and Indore, boasting a combined operational bed capacity of 1194 beds and a team of 1,306 doctors, including specialists, physicians, and surgeons, as of March 31, 2023.
Additionally, the company is in the process of constructing a state-of-the-art multi-specialty hospital in Dombivli, Maharashtra, which is anticipated to house over 500 beds.
Objects of the Issue
The objects of the IPO issue contains both Offer for Sale (OFS) and fresh issue.
Under OFS, the amount goes to selling share holders.
Fresh issue would be used for the following objectives:
- Repayment/pre-payment, in full or part, of borrowings availed from banks by the company and aterial Subsidiary.
- General corporate purposes.
Jupiter Lifeline Hospitals Limited Financials
|Financial Year ending / Period ending (Amt in Crores)|
|Profit After Tax||-2.3||51.1||72.9|
Jupiter Life Line Hospitals IPO Price Evaluation:
The IPO price range for Jupiter Life Line Hospitals is set at Rs 695 to Rs 735 per share.
When we analyze the Price-to-Earnings (P/E) ratio based on the earnings per share (EPS) for the last fiscal year (FY23) of Rs 12.95, it equates to a P/E ratio of 57x. Additionally, if we consider the weighted EPS for the last three years, which is Rs 9.62, the P/E ratio works out to be 76x.
In comparison, listed peers such as Apollo Hospitals have a P/E ratio of 84x (the highest), and Fortis Healthcare is trading at a P/E of 40x (the lowest). The industry average P/E ratio stands at 50x. Therefore, the IPO price range, with a P/E ratio ranging from 57x to 76x, appears to be on the higher side, which some investors may perceive as overpriced.
Investors should carefully weigh these valuation metrics and consider other factors, such as the company’s growth prospects and financial health, before making a decision to invest in the Jupiter Life Line Hospitals IPO.