Vijaya Diagnostic IPO to open on September 1

Healthcare chain Vijaya Diagnostic Centre on Thursday said it has fixed a price band of ~522-531 a share for its ~1,895-crore initial share-sale.

The three-day initial public offer (IPO) will open for subscription on September 1 and conclude on September 3, the company announced in a virtual press conference.

The IPO is entirely an offer for sale of 35,688,064 equity shares by the promoter Dr S Surendranath Reddy and investors — Karakoram Ltd and Kedaara Capital Alternative Investment Fundkedaara Capital AIF I.

As a part of the offer for sale, Reddy will sell 50.98 lakh equity shares, Karakoram will offload 2.95 crore equity shares and Kedaara Capital will divest 11.02 lakh shares.

The initial share-sale will see stake dilution of 35 per cent by promoter and existing shareholders.

At present, promoter and promoter group own 59.78 per cent shareholding in the company. This included Reddy's 37.78 per cent stake. Karakoram and Kedaara Capital hold 38.56 per cent and 1.44 per cent stake, respectively, in Vijaya Diagnostic. At the upper end of the price band, the initial sharesale is expected to fetch about ~1,895 crore.