Dr. Dharminder Kumar Nagar, Managing Director, Paras Healthcare Limited

MUMBAI, NATIONAL, 14 OCTOBER, 2026 | GPN, SACHIN MURDESHWAR: Hospital chain operator Paras Healthcare has reduced the size of its initial public offering (IPO) to Rs1,450 crore from the Rs1,800 crore proposed in its draft red herring prospectus (DRHP), primarily by cutting the offer-for-sale (OFS) component. The issue will open for subscription on October 21 and close on October 23.The Haryana-based company, which operates eight hospitals across North India, Bihar and Jharkhand, has fixed the price band at Rs660–Rs693 per share. At the upper end of the price band, the company’s post-issue market capitalisation is estimated at around Rs 7,498 crore.The IPO comprises a fresh issue of Rs500 crore and an OFS of Rs950 crore. The OFS will see promoter Dr Dharminder Kumar Nagar and Commelina, an affiliate of Malaysian private equity firm Creador, sell shares worth Rs300 crore and Rs650 crore, respectively.Nagar currently holds a 72.8% stake in Paras Healthcare, while public shareholders own the remaining 27.2%. Commelina holds 16.44%, 360 ONE owns 6.37%, and Axis New Opportunities AIF holds a 3.63% stake.The hospital chain operator refiled its draft papers in June 2026, and the Securities and Exchange Board of India (Sebi) cleared the IPO in August.

From the proceeds of the IPO Rs 375 crore, or 75% of the fresh issue proceeds, will be utilised towards debt repayment and general corporate purposes. Of this, Rs 320.90 crore will be used to repay or prepay borrowings availed by the company, while Rs 54.10 crore will be invested in its wholly owned subsidiary, PMHPL, which operates a hospital in Srinagar, to repay or prepay its borrowings. AS told to our Newsman Sachin Murdeshwar The remaining Rs 125 crore will be allocated to general corporate purposes.As of March 31, 2026, the company’s total borrowings stood at Rs 1,393.86 crore, up from Rs 1,232.12 crore in FY25. Its borrowings stood at Rs 1,429.49 crore as of June 30, 2026.