Gujarat Kidney IPO Overview
Vadodara-based multispeciality healthcare services provider raising ₹250.80 cr (100% fresh issue, no OFS). Price: ₹108-114. Lot: 128 shares (₹14,592 min investment).
Funds for acquiring Parekhs Hospital Ahmedabad (₹77 cr), additional stake in Harmony Medicare Bharuch (₹10.78 cr), part-payment for Ashwini Medical Centre (₹12.40 cr), new women’s hospital Vadodara (₹30.09 cr), robotics equipment (₹6.82 cr), debt repayment (₹1.20 cr), unidentified acquisitions and general corporate purposes.
Lead: Nirbhay Capital Services. Registrar: MUFG Intime India (Link Intime).
Founded 2019 (started operations 2019 in Gujarat). Multispeciality healthcare provider specializing in secondary (surgical) and tertiary (super speciality) care with integrated diagnostics and pharmacies. 670 employees, 89 full-time consultants, 238 visiting consultants (as of November 12, 2025).
Services: Secondary care (general surgical), tertiary care (super speciality surgical including urology, nephrology, cardiology, neurology, oncology, gastroenterology, plastic surgery), diagnostics, in-house pharmacies serving central Gujarat’s underpenetrated markets.
Operates 7 multispeciality hospitals and 4 in-house pharmacies: Gujarat Kidney & Superspeciality Hospital Vadodara, Gujarat Multispeciality Hospital Godhra, Raj Palmland Hospital Bharuch, Surya Hospital & ICU Borsad, Gujarat Surgical Hospital Vadodara, Ashwini Medical Centre Anand, Apex Multispeciality & Trauma Center Bharuch. Total 490 beds, approved 445 beds, operational 340 beds.
Pre-eminence in renal sciences (urology, nephrology). Asset-light business model targeting underpenetrated central Gujarat markets. Beneficiary of government schemes including Ayushman Bharat – PMJAY.
IPO DETAILED INFORMATION
Issue Details
| Parameter | Details |
| IPO Type | Mainboard (BSE & NSE) |
| IPO Open Date | 22 December 2025 (Monday) |
| IPO Close Date | 24 December 2025 (Wednesday) |
| Anchor Investor Bidding | 19 December 2025 (Thursday) |
| Allotment Date | 26 December 2025 (Friday) – Expected |
| Credit to Demat | 29 December 2025 (Monday) – Expected |
| Refund Initiation | 29 December 2025 (Monday) – Expected |
| Listing Date | 30 December 2025 (Tuesday) – Tentative |
| Price Band | ₹108 – ₹114 per share |
| Face Value | ₹2 per share |
| Lot Size | 128 shares (minimum lot) |
| Min Investment (Retail) | ₹14,592 (128 shares at upper band ₹114) |
| sNII Investment | ₹2,04,288 (14 lots / 1,792 shares) minimum |
| bNII Investment | ₹10,06,848 (69 lots / 8,832 shares) minimum |
| Issue Size | ₹250.80 crore total |
| Fresh Issue | ₹250.80 crore (100%) – 2,20,00,000 shares |
| Offer for Sale (OFS) | NIL – No OFS component |
| Total Shares Offered | 2,20,00,000 equity shares |
| Listing | BSE & NSE (Mainboard) |
| Post-Issue Market Cap | ~₹899 crore (at upper price band ₹114) |
Issue Break-up
| Category | Allocation |
| QIB (Qualified Institutional Buyers) | 75% (Not less than) |
| NII (Non-Institutional Investors) | 15% (Not more than) |
| Retail Individual Investors | 10% (Not more than) |
Selling Shareholders (OFS ₹0 crore)
No OFS Component – 100% Fresh Issue
Note: This is a 100% fresh issue IPO with no Offer for Sale. All proceeds go directly to the company for business purposes. The issue constitutes significant portion of post-IPO paid-up equity capital. Promoter holding will dilute accordingly.
Objects of the Issue (Fund Utilization)
Fresh Issue Proceeds (₹250.80 crore) will be used for:
- Acquisition of Parekhs Hospital Private Limited, Ahmedabad – ₹77.00 crore (30.7%)
- Proposed acquisition of established hospital in Ahmedabad
- Expanding footprint to Gujarat’s largest city
- Strategic geographic expansion beyond central Gujarat
- Additional Shareholding in Harmony Medicare Private Limited, Bharuch – ₹10.78 crore (4.3%)
- Acquiring more stake in subsidiary
- Consolidating ownership in Bharuch operations
- Strengthening control over existing facility
- Part-Payment for Ashwini Medical Centre, Anand – ₹12.40 crore (4.9%)
- Part payment of purchase consideration for already acquired hospital
- Completing acquisition of Ashwini Medical Centre
- Regularizing past acquisition
- New Hospital for Women’s Healthcare, Vadodara – ₹30.09 crore (12.0%)
- Capital expenditure for setting up new hospital
- Dedicated women’s healthcare facility in Vadodara
- Expanding specialty offerings
- Robotics Equipment for Gujarat Kidney Hospital, Vadodara – ₹6.82 crore (2.7%)
- Purchase of robotic surgical equipment
- Technology upgrades for flagship Vadodara hospital
- Enhancing super speciality capabilities
- Repayment/Prepayment of Borrowings – ₹1.20 crore (0.5%)
- Full or partial repayment of certain outstanding secured borrowings
- Minor debt reduction component
- Unidentified Acquisitions and General Corporate Purposes – Balance Amount (~₹112.51 crore, 44.9%)
- Funding inorganic growth through future unidentified acquisitions
- General corporate purposes
- Working capital and strategic initiatives
Strategic Focus:
- Aggressive M&A strategy: 40% allocated to acquisitions (Parekhs ₹77 cr + Harmony ₹10.78 cr + Ashwini ₹12.40 cr + unidentified ₹112.51 cr)
- Geographic expansion from central Gujarat to Ahmedabad (largest city)
- Technology upgrades (robotics equipment ₹6.82 cr)
- Women’s healthcare vertical (new hospital ₹30.09 cr)
- Minimal debt repayment (₹1.20 cr, 0.5%) indicating already low debt levels
- Majority allocation (45%) kept flexible for “unidentified acquisitions” – raises questions about specific M&A targets
OFS Proceeds:
- NIL – No promoter exit
Note: 100% fresh issue with 45% allocated to “unidentified acquisitions” and general purposes. Acquisition-heavy strategy (40% for named + 45% unidentified) totaling 85% for M&A. Only 12% for greenfield expansion (women’s hospital). Raises concerns about lack of clarity on ₹112 crore “unidentified acquisitions” spend.
Lead Managers & Registrar
Book Running Lead Manager (BRLM):
- Nirbhay Capital Services Private Limited (Sole BRLM)
Registrar:
- MUFG Intime India Private Limited (Link Intime India Private Limited)
- Address: C 101, 247 Park, L.B.S. Marg, Vikhroli (West), Mumbai – 400083
- Phone: +91-22-4918 6270
- Email: [email protected]
- Website: https://linkintime.co.in/Initial_Offer/public-issues.html
Promoters & Management
Key Promoters (4 Promoters – Family):
Individual Promoters:
- Dr. Pragnesh Yashwantsinh Bharpoda – Promoter, Chairman & Managing Director
- Founder and key promoter
- Medical professional with extensive healthcare expertise
- Vision to provide quality healthcare in underpenetrated Gujarat markets
- Dr. Bhartiben Pragnesh Bharpoda – Promoter
- Co-promoter, associated with founder family
- Dr. Yashwantsinh Motisinh Bharpoda – Promoter
- Co-promoter, associated with founder family
- Anitaben Yashwantsinh Bharpoda – Promoter
- Co-promoter, associated with founder family
Promoter Holding:
- Pre-IPO: Data not fully disclosed
- Post-IPO: Dilution expected based on 100% fresh issue
Company History:
- Incorporated: 2019 (CIN: U85110GJ2019PLC108637)
- Operations Started: 2019 in Gujarat
- Legacy: 6 years of operations (2019-2025)
- Evolution: Started with Gujarat Kidney & Superspeciality Hospital Vadodara (renal sciences focus), rapidly expanded through acquisitions to 7 hospitals by 2025
- Workforce: 670 employees (as of November 12, 2025), 89 full-time consultants, 238 visiting consultants
- Milestone: Established leadership in renal sciences (urology, nephrology) in central Gujarat; expanded to 490 total beds across 7 facilities within 6 years
Company Contact:
- Registered Office: Plot No. 1, City Survey No. 1537/A, Jetalpur Road, Gokak Mill Compound, Alkapuri, Vadodara, Gujarat – 390020, India
- Phone: +91 265 298 4800
- Email: [email protected]
- Website: www.gujaratsuperspecialityhospital.com
COMPANY OVERVIEW
Establishment & Background:
- Incorporated: 2019; Operations Started: 2019 (6 years)
- Industry: Multispeciality Healthcare Services (Hospitals)
- Headquarters: Vadodara, Gujarat
- Positioning: Regional multispeciality hospital chain in central Gujarat targeting underpenetrated markets with focus on renal sciences
Business Model:
Service Portfolio – Integrated Healthcare Services:
1. Secondary Care (Surgical Services):
- General Medicine
- General Surgery & Laparoscopic Surgery
- IVF (In Vitro Fertilization)
- Orthopaedics & Joint Replacement
- Endocrinology
- Pulmonology (Respiratory failure management)
- Paediatrics
- Obstetrics & Gynaecology
- Diabetology
- Anaesthesiology
2. Tertiary Care (Super Speciality Surgical Services):
- Urology (flagship specialty – renal sciences pre-eminence)
- Nephrology (kidney diseases – core expertise)
- Cardiology (non-interventional)
- Neurology
- Oncology
- Oncosurgery
- Gastroenterology
- Plastic Surgery
- Minimally Invasive Procedures
3. Integrated Services:
- In-house Diagnostic Services (pathology, radiology, imaging)
- In-house Pharmacies (4 pharmacies within hospitals)
- Intensive Care Units (ICUs)
- Trauma Care
- Emergency Services
Future Expansion (Post-IPO):
- Women’s healthcare (dedicated new hospital in Vadodara)
- Robotic surgery (robotics equipment for Vadodara)
- Geographic expansion (Ahmedabad through Parekhs acquisition)
End Applications – Patient Segments:
- Private Pay Patients: Middle-class and affluent patients from central Gujarat
- Government Schemes: Beneficiaries of Ayushman Bharat – PMJAY (Pradhan Mantri Jan Arogya Yojana), other state health schemes
- Regional Patients: Targeting underpenetrated markets in Vadodara, Godhra, Bharuch, Borsad, Anand with limited access to quality healthcare
- Referral Patients: Patients referred from smaller clinics and primary health centers
Hospital Network:
As of March 20, 2025 (Consolidated Basis):
- 6 Multispeciality Hospitals
- 3 In-house Pharmacies
- Total Beds: 400 beds
- Approved Bed Capacity: 355 beds
- Operational Bed Capacity: 250 beds
As of June 30, 2025 / December 2025 (Current):
- 7 Multispeciality Hospitals:
- Gujarat Kidney & Superspeciality Hospital – Vadodara (flagship)
- Gujarat Multispeciality Hospital – Godhra
- Raj Palmland Hospital Private Limited – Bharuch
- Surya Hospital and ICU – Borsad
- Gujarat Surgical Hospital – Vadodara
- Ashwini Medical Centre – Anand (recently acquired)
- Apex Multispeciality & Trauma Center – Bharuch
- 4 In-house Pharmacies:
- Pharmacy at Gujarat Kidney Hospital, Vadodara
- Pharmacy at Gujarat Multispeciality Hospital, Godhra
- Ashwini Medical Store, Anand
- Pharmacy at other facilities
- Total Beds: 490 beds
- Approved Bed Capacity: 445 beds
- Operational Bed Capacity: 340 beds
Revenue Model:
- Fee-for-service model from private pay patients
- Government reimbursements from Ayushman Bharat PMJAY and state health schemes
- Pharmacy sales from in-house pharmacies
- Diagnostic services revenue
- Surgical and procedural fees (super speciality tertiary care commanding premium)
- Asset-light model focusing on operational efficiency
Value Proposition:
- Renal Sciences Leadership: Pre-eminence in urology and nephrology (kidney care) as core competency
- Underpenetrated Markets: Targeting central Gujarat towns (Godhra, Bharuch, Borsad, Anand) with limited quality healthcare access
- Local Expertise: Deep understanding of regional patient needs, medical practices, cultural sensitivities
- Integrated Care: Secondary, tertiary, diagnostics, pharmacy under one roof
- Affordable Quality: Providing specialist care at lower costs compared to metro hospitals
- Government Schemes: Access to PMJAY beneficiaries expanding addressable market
- Asset-Light: Focus on operational excellence over heavy asset ownership
Market Position:
- Regional player in central Gujarat healthcare
- 6 years operational track record (2019-2025)
- 7 hospitals across 5 cities (Vadodara, Godhra, Bharuch, Borsad, Anand)
- 490 total beds, 340 operational beds
- 670 employees, 89 full-time + 238 visiting consultants
Operations
Service Delivery:
- Geographic Focus: Central Gujarat region – Vadodara (headquarters), Godhra, Bharuch, Borsad, Anand
- Expansion Plans: Ahmedabad (via Parekhs Hospital acquisition post-IPO)
- Target Markets: Tier-2 and Tier-3 cities with underpenetrated healthcare infrastructure
- Model: Multispeciality hospitals with integrated diagnostics and pharmacies
Growth Trajectory:
- Revenue Growth (FY24-25): 637% YoY (₹5.48 cr to ₹40.40 cr) – extraordinary surge
- PAT Growth (FY24-25): 455% YoY (₹1.71 cr to ₹9.50 cr) – explosive profitability
- H1 FY26 Annualized: ₹15.26 cr x 2 = ~₹30.52 cr revenue run-rate (vs. ₹40.40 cr FY25) suggesting growth moderation or seasonality
- EBITDA margins stable at ~41% (FY24 to FY25)
- PAT margin volatile: 31.20% (FY24 on ₹5.48 cr) vs. 23.51% (FY25 on ₹40.40 cr) vs. 35.39% (Q1 FY26)
- Critical Question: 637% revenue growth in single year FY24-25 raises sustainability concerns
Company Strengths
- Explosive Financial Performance – 637% Revenue, 455% PAT Growth (FY24-25):
- Revenue exploded from ₹5.48 cr (FY24) to ₹40.40 cr (FY25) – 637% YoY growth
- PAT surged from ₹1.71 cr to ₹9.50 cr – 455% YoY growth
- Extraordinary growth trajectory demonstrating rapid scaling capability
- EBITDA margins stable at ~41% despite hypergrowth
- Strong Profitability Metrics – 41% EBITDA, 24-35% PAT Margins:
- EBITDA margin of 40.86%-41.12% indicating strong operational efficiency
- PAT margins of 23-35% exceptionally high for hospital business
- Demonstrates pricing power and cost management
- High margins provide cushion for future investments
- Pre-eminence in Renal Sciences – Urology & Nephrology Leadership:
- Established leadership in kidney care (urology, nephrology)
- Flagship specialty providing differentiation
- “Gujarat Kidney & Super Speciality” brand positioning around renal expertise
- Sub-super-specialities in urology creating entry barriers
- Strategic Geographic Positioning – Underpenetrated Central Gujarat:
- Targeting Tier-2/Tier-3 cities: Vadodara, Godhra, Bharuch, Borsad, Anand
- Limited competition from large hospital chains in these markets
- Deep local knowledge of patient needs and medical practices
- Proximity to patients reducing travel to Ahmedabad/Surat metros
- Asset-Light Business Model with Integrated Services:
- Focus on operational efficiency over heavy asset ownership
- Integrated model: secondary care, tertiary care, diagnostics, pharmacies
- In-house pharmacies providing additional revenue streams
- Scalable model through acquisitions
- Rapid Network Expansion – 7 Hospitals in 6 Years:
- Built network of 7 hospitals since 2019 incorporation
- Proven M&A capability (Ashwini Medical Centre, Raj Palmland, others)
- 490 total beds, 340 operational – room for bed ramp-up without new facilities
- IPO-funded expansion to Ahmedabad (Parekhs) and women’s hospital
- Government Scheme Participation – Ayushman Bharat PMJAY Access:
- Beneficiary of Ayushman Bharat – PMJAY providing patient flow
- Government reimbursements adding revenue stability
- Expanding addressable market to economically weaker sections
- Alignment with government’s healthcare-for-all mission
- India’s Healthcare Boom – Underpenetrated Market Opportunity:
- Indian healthcare sector growing rapidly (Government health spending target 2.5% of GDP by 2025 from 1.9%)
- Rising lifestyle diseases, ageing population driving healthcare demand
- Telemedicine, digital health adoption enhancing accessibility
- Medical tourism positioning India as affordable treatment hub
- Private healthcare bridging public sector gaps
Key Risks & Challenges
- Sustainability Concerns – Unexplained 637% Revenue Surge in FY25:
- Revenue jumped from ₹5.48 cr (FY24) to ₹40.40 cr (FY25) – 637% growth in single year
- Such explosive growth raises questions: acquisitions consolidated? one-time events? accounting changes?
- H1 FY26 annualized revenue (~₹30 cr) lower than FY25 (₹40 cr) – growth already moderating?
- PAT margin volatility: 31% (FY24) → 23% (FY25) → 35% (Q1 FY26) – inconsistent profitability
- Lack of detailed explanation for hypergrowth in RHP raises red flags
- Intense Competition from Hospital Chains – Apollo, Aster, Manipal:
- Faces competition from India’s largest hospital chains: Apollo Hospitals (73 hospitals, 10,000+ beds), Aster DM Healthcare (merging with CARE to create 10,000+ bed entity), Manipal Hospitals, Fortis Healthcare, Narayana Health, Max Healthcare
- These giants have vastly superior resources, brand recognition, technology, medical talent
- Can easily expand into Gujarat with deeper pockets
- Gujarat Kidney’s 490 beds vs. Apollo’s 10,000+ beds – scale disadvantage
- Regional players in Gujarat: IKDRC-ITS, Zydus Hospitals Ahmedabad, Sterling Hospital Vadodara, others
- Small Scale & Short Track Record – 6 Years Old, ₹40 Cr Revenue:
- Only 6 years operational history (incorporated 2019)
- ₹40.40 cr revenue (FY25) extremely small compared to listed peers
- 490 total beds, 340 operational – limited capacity
- Young company with unproven long-term sustainability
- No crisis-tested resilience (COVID-19 impact not detailed)
- Aggressive Valuation – ₹899 Cr Market Cap on ₹40 Cr Revenue:
- Post-IPO market cap ~₹899 cr at ₹114 upper band
- Price-to-Sales ratio: ₹899 cr / ₹40.40 cr = 22.25x P/S (extremely rich)
- Valuation assumes sustained hypergrowth and high margins
- If FY26 revenue is ₹30 cr (H1 annualized), P/S worsens to 30x
- Limited comparable listed hospital SMEs for benchmarking
- 85% of IPO for Acquisitions – Lack of Clarity on “Unidentified” Targets:
- ₹100.18 cr (40%) for named acquisitions: Parekhs (₹77 cr), Harmony (₹10.78 cr), Ashwini (₹12.40 cr)
- ₹112.51 cr (45%) for “unidentified acquisitions” and general purposes
- Total 85% allocated to M&A without clear targets for 45% spend
- Risk of overpaying for acquisitions or poor integration
- Only 12% (₹30 cr) for organic greenfield expansion (women’s hospital)
- Acquisition-heavy strategy vs. organic growth concerns
- Dependency on Key Specialties – Urology/Nephrology Concentration:
- Strong focus on renal sciences (urology, nephrology) as core competency
- Over-reliance on kidney care may limit diversification
- If competition intensifies in renal segment, vulnerable
- Need to build strength across multiple super-specialities
- Regulatory and Reimbursement Risks – Government Scheme Dependency:
- Participation in Ayushman Bharat PMJAY exposes to government reimbursement delays
- PMJAY rates typically lower than private pay – margin pressure
- Changes in scheme coverage or rates can impact revenue
- Regulatory compliance (NABH, JCI accreditation) costs for hospital licensing
- Execution Risks – Multiple Acquisitions, New Hospital, Robotics:
- Simultaneously integrating Parekhs (Ahmedabad), Harmony (Bharuch), Ashwini (Anand)
- Setting up new women’s hospital in Vadodara
- Installing robotics equipment requiring trained surgeons
- Execution complexity with limited management bandwidth
- Integration failures, cost overruns, delays can derail growth
- Geographic Concentration – Entire Network in Gujarat:
- All 7 hospitals concentrated in Gujarat state
- No pan-India diversification – exposed to Gujarat-specific risks
- State economic slowdown, regulatory changes, natural calamities
- Limited ability to leverage multi-state network effects
- Talent Acquisition & Retention – Competition for Doctors:
- Healthcare business depends on attracting and retaining quality doctors
- Tier-2/3 cities face challenges recruiting top medical talent
- Doctors prefer metros for better opportunities, infrastructure
- Visiting consultant model (238 visiting vs. 89 full-time) creates dependency
- Large chains can offer better compensation and career growth
Disclaimer
This information is based on publicly available sources including SEBI RHP filings, company disclosures, and news reports. Investors should conduct their own research and consult with financial advisors before making investment decisions.
Past performance is not indicative of future results. The company reported explosive financial performance (FY25: 637% revenue growth to ₹40.40 crore from ₹5.48 crore FY24, 455% PAT growth to ₹9.50 crore from ₹1.71 crore, 23.51% PAT margin, 41.12% EBITDA margin, Q1 FY26 revenue ₹15.26 crore with 35.39% PAT margin suggesting ₹30 crore annualized run-rate), operates as regional multispeciality healthcare provider with 670 employees, 89 full-time consultants, 238 visiting consultants, runs 7 hospitals and 4 in-house pharmacies (Gujarat Kidney & Superspeciality Hospital Vadodara flagship, Gujarat Multispeciality Hospital Godhra, Raj Palmland Hospital Bharuch, Surya Hospital Borsad, Gujarat Surgical Hospital Vadodara, Ashwini Medical Centre Anand, Apex Multispeciality & Trauma Center Bharuch) with 490 total beds, 445 approved, 340 operational, serves central Gujarat’s underpenetrated markets (Vadodara, Godhra, Bharuch, Borsad, Anand) with focus on renal sciences (urology, nephrology) pre-eminence, integrated secondary/tertiary care, diagnostics, pharmacies, asset-light model, government scheme participation (Ayushman Bharat PMJAY), but faces significant risks including sustainability concerns with unexplained 637% revenue surge in single year FY25 raising questions (acquisitions? accounting? one-time events?), H1 FY26 annualized revenue (~₹30 crore) already below FY25 (₹40 crore) suggesting growth moderation, intense competition from Apollo (10,000+ beds), Aster-CARE merger (10,000+ beds), Manipal, Fortis, Narayana, Max healthcare giants with vastly superior resources, small scale (₹40 crore revenue, 490 beds, 6 years operational history since 2019), aggressive valuation (₹899 crore market cap = 22x P/S on FY25, 30x P/S if FY26 is ₹30 crore), 85% of IPO for acquisitions (₹100 crore named + ₹112 crore “unidentified acquisitions” lacking clarity), only 12% for organic greenfield expansion (women’s hospital ₹30 crore), dependency on renal sciences concentration, government scheme reimbursement risks, execution risks with multiple simultaneous acquisitions and new projects, geographic concentration entirely in Gujarat, talent acquisition challenges in Tier-2/3 cities competing with metros, and volatile PAT margins (31% FY24 → 23% FY25 → 35% Q1 FY26). 100% fresh issue allocated to acquisitions (Parekhs Ahmedabad ₹77 crore, Harmony Bharuch ₹10.78 crore, Ashwini Anand ₹12.40 crore), women’s hospital Vadodara (₹30.09 crore), robotics equipment (₹6.82 crore), debt repayment (₹1.20 crore), unidentified acquisitions and general purposes (₹112.51 crore, 45%). Founded 2019, 6 years track record. Mainboard listing on BSE/NSE. Investors must review detailed explanation for 637% revenue spike, sustainability of growth and margins, acquisition integration capabilities, competitive positioning vs. hospital giants, and valuation premium in RHP before applying.
