Hospital chain operator Paras Healthcare has reduced the size of its initial public offering (IPO) to ₹1,450 crore from the ₹1,800 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, while the shares are scheduled to list on the BSE and NSE on October 28.
The Haryana-based company, which operates eight hospitals across North India, Bihar and Jharkhand, has fixed the price band at ₹660–₹693 per share. At the upper end of the price band, the company’s post-issue market capitalisation is estimated at around ₹7,498 crore.
The IPO comprises a fresh issue of ₹500 crore and an OFS of ₹950 crore. The OFS will see promoter Dr Dharminder Kumar Nagar and Commelina, an affiliate of Malaysian private equity firm Creador, sell shares worth ₹300 crore and ₹650 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.
IPO proceeds to be used for debt repayment
Paras Healthcare plans to use ₹375 crore, or 75% of the fresh issue proceeds, towards debt repayment and general corporate purposes. Of this, ₹320.90 crore will be used to repay or prepay borrowings availed by the company, while ₹54.10 crore will be invested in its wholly owned subsidiary, PMHPL, which operates a hospital in Srinagar, to repay or prepay its borrowings. The remaining ₹125 crore will be allocated to general corporate purposes.
As of March 31, 2026, the company’s total borrowings stood at ₹1,393.86 crore, up from ₹1,232.12 crore in FY25. Its borrowings stood at ₹1,429.49 crore as of June 30, 2026.
Paras Healthcare reported total income of ₹1,628.78 crore in FY26, up from ₹1,314.21 crore in FY25, an increase of nearly 24%. The company posted a profit after tax of ₹43.83 crore in FY26, compared with a loss of ₹57.98 crore in the previous financial year.
EBITDA rose to ₹335.58 crore in FY26 from ₹156.46 crore in FY25, indicating an improvement in operating performance. The company had reported losses in both FY24 and FY25 before returning to profitability in FY26.
For the quarter ended June 30, 2026, Paras Healthcare reported total income of ₹478.75 crore and a profit after tax of ₹49.68 crore. Its assets stood at ₹2,202.88 crore, while its net worth was ₹444.96 crore.
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