Shares of Entero Healthcare Solutions finished nearly 9 per cent lower during their trading debut on Friday. The stock ended at Rs 1,149, down Rs 109, or 8.7 per cent, over its issue price of Rs 1,258.
The healthcare products distributor was the third company to list at a discount this week. On Wednesday, shares of Jana Small Finance Bank (SFB) and Capital SFB too had closed 11 per cent and 7 per cent below their issue prices, respectively.
Entero’s weak listing follows a lukewarm response to its Rs 1,600-crore initial public offering (IPO). The maiden share sale had garnered just 1.5 times subscription.
Incorporated in 2018, Entero is a technology-driven platform for the distribution of healthcare products and services to pharmacies, hospitals, and clinics throughout India. Through the IPO, the company raised Rs 1,000 crore in fresh capital, which will be used for the retirement of debt and for inorganic growth such as acquisitions. The IPO also had an offer for sale component of Rs 600 crore.
At the last close, Entero was valued at Rs 5,000 crore. During the first half of financial year 24, the company reported a net profit of Rs 12 crore on revenues of Rs 1,896 crore.
First Published: Feb 16 2024 | 5:03 PM IST
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