Ahmedabad: With the Covid-19 pandemic requiring increased attention on the healthcare and pharmaceutical industry, more and more Gujarat-based companies in the sector are now tapping into the primary market to raise funds for expansion, acquisitions and capital requirements.
Three companies – Veeda Clinical Research Limited, Sahajanand Medical Technologies Limited and Infinion Biopharma Limited – have filed documents with the Securities and Exchange Board of India (SEBI) for their initial public offerings (IPOs) since September this year.
While Sahajanand Medical Technologies, headquartered in Surat, intends to raise Rs 1,500 crore, Ahmedabad-based clinical research organization (CRO) Veeda Clinical Research plans to raise Rs 831 crore, have indicated sources.
Healthcare is a booming sector and poised to grow significantly over the next decade with a renewed focus on the sector in the wake of the Covid-19 pandemic. Companies operating in the space are increasingly raising funds to meet growing needs for innovative therapies, diagnostics and health services, industry players have said.
Gujarat-based companies such as Aashka Hospitals Limited, Ami Organics Limited and Tatva Chintan Pharma Chem Ltd have already raised funds through IPOs this year.
“The growing awareness of diagnostics, medical devices, health services and therapies following the Covid-19 epidemic has further improved the growth prospects of the healthcare and pharmaceutical sector. Therefore, companies are raising funds to meet the growing needs of the healthcare industry, ”said Vaibhav Shah, managing director of Monarch Networth Capital, a city-based financial services company.
“With the stock market booming thanks to strong retail investor confidence, companies are also getting good valuations by listing their stocks. This is another reason why companies choose IPOs to raise funds, ”he added.
It’s not just Gujarat, healthcare and pharmaceutical companies across the country have turned to the primary market this year to mop up growth capital. Among them are Vijaya Diagnostic Center Limited, Glenmark Lifesciences Limited, Windlas Biotech Limited, Krsnaa Diagnostics and Krishna Institute of Medical Sciences.
Public offerings from companies like Emcure Pharmaceuticals, Healthium Medtech Limited, Wellness Forever Medicare Limited and Supriya Lifesciences Ltd, among others, are underway.


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