The Initial Public Offering of Sagility India Limited was subscribed 52% on the second day of bidding.
The issue received bids of 20,09,58,500 shares against the offered 38,70,64,594 equity shares, at a price band of ₹28-30, according to the data available on the stock exchanges.
Employee Portion was subscribed 2.44 times. Retail Portion and Non-Institutional Investors Portion were subscribed 2.24 times and 0.24 times respectively, whereas Qualified Institutional Buyer Portion was subscribed 0.07 times. The issue kicked off for subscription on Tuesday, November 05, 2024, and will close on Thursday, November 07, 2024.
A day before the opening of the issue, Sagility India Ltd raised Rs 945 crores from anchor investors. Foreign and Domestic Institutions who participated in the anchor were HDFC Mutual Fund, Nomura, Government Pension Fund Global (Norges Bank), ICICI Prudential Mutual Fund, Mirae Asset Mutual Fund, ICICI Prudential Life, WhiteOak Mutual Fund, Amundi, Allspring Global, Lion Global, Motilal Oswal Mutual Fund and Max Life Insurance amongst others.
Leading brokerage firms like Nirmal Bang, BP Equities, Marwadi Shares & Finance Ltd, Ventura Securities Ltd, Choice India, Canara Bank, and Master Capital Services Ltd have given a “Subscribe” rating to the issue highlighting the company’s strong financial growth, with its revenue from operations increasing to ₹4,753.55 Cr in FY 2024, up from ₹4,218.41 Cr in FY 2023, indicating the company's ability to expand its market share. This growth is also reflected in its EBITDA, which rose to ₹1,116.04 Cr, and adjusted EBITDA, which increased to ₹1,171.46 Cr, demonstrating effective operational management.
Moreover, the company saw a significant increase in its adjusted profit after tax (PAT), which grew to ₹589.55 Cr from ₹455.59 Cr the previous year, while the adjusted PAT margin improved from 10.80% to 12.40%. These financial results highlight Sagility's solid profitability and ability to create value for stakeholders. Additionally, the company's focus on maintaining strong relationships with healthcare payers and providers enhances its client retention, contributing to its stability.
ICICI Securities Limited, IIFL Securities Limited, Jefferies India Private Limited, J.P. Morgan India Private Limited are the book-running lead managers, and Link Intime India Private Limited is the registrar of the issue.