Home › Blogs › IPO blogs › Paras Healthcare IPO
Paras Healthcare IPO: price band, dates, financials, valuation and risks
Paras Healthcare Limited, which runs eight hospitals in North and East India, is raising about ₹1,450 cr at a price band of ₹660 to ₹693: a fresh issue of ₹500 cr and an Offer for Sale of ₹950 cr by two selling shareholders.
Last updated 21 Oct 2026. Sources: RHP and broker notes.
IPO means initial public offering. RHP is the Red Herring Prospectus, the offer document filed before the issue opens. UPI is the Unified Payments Interface. BSE is BSE Limited and NSE is the National Stock Exchange of India. FY26 means the financial year ended 31 March 2026. OFS is Offer for Sale.
Key dates
| Anchor investor bidding | Mon, 19 Oct 2026 |
|---|---|
| Issue opens | Wed, 21 Oct 2026 |
| Issue closes | Fri, 23 Oct 2026 (UPI mandate cut-off 5:00 pm) |
| Basis of allotment | Mon, 26 Oct 2026 (expected) |
| Refunds and credit of shares to demat accounts | Tue, 27 Oct 2026 (expected) |
| Listing | Wed, 28 Oct 2026 on BSE and NSE (expected) |
Issue details and application size
| Price band | ₹660 to ₹693 per share (face value ₹1) |
|---|---|
| Lot size | 21 shares |
| Minimum application at upper band | 21 × ₹693 = ₹14,553 |
| Total issue size | about ₹1,450 cr (2,09,23,520 shares at the upper band) |
| Fresh issue | ₹500 cr (about 72.15 lakh shares) |
| Offer for Sale | ₹950 cr (about 1.37 crore shares) by promoter Dr Dharminder Kumar Nagar (₹300 cr) and investor Commelina Ltd (₹650 cr) |
| Anchor portion | ₹652.50 cr (94,15,584 shares at ₹693) |
| Quota of the net offer | Qualified institutional buyers at least 75% (1,56,92,640 shares, of which the anchor portion is 94,15,584), non-institutional investors up to 15% (31,38,528 shares), retail investors up to 10% (20,92,352 shares); no employee reservation is shown in the RHP |
| Book running lead managers | JM Financial, BofA Securities India, Nuvama Wealth Management |
| Registrar | MUFG Intime India Private Limited |
About the company
Paras Healthcare was incorporated on 21 December 1987 at New Delhi as Arbian Frozen Foods Private Limited, renamed Paras Healthcare Private Limited in July 2003, and became a public company in July 2024. Its registered office is in Gurugram, Haryana.
It runs eight hospitals with 2,211 beds under the Paras Health brand in Gurugram, Panchkula, Patna, Darbhanga, Kanpur, Udaipur, Ranchi and Srinagar, offering tertiary and quaternary care led by cardiac, oncology, neuro, gastro, orthopaedic and renal specialties, which made up about 74.7% of FY26 revenue. In-patient services were about 78% of revenue, with the rest from out-patient care and pharmacy, from self-pay patients, insurers and government health schemes. A 300-bed Gurugram hospital and a 500-bed Ludhiana hospital are planned to take capacity to 3,011 beds by March 2028.
Financial snapshot (year ended 31 March 2026)
| Revenue | ₹1,606 cr |
|---|---|
| Profit after tax | ₹44 cr in FY26, against a loss of ₹58 cr in FY25 |
| EBITDA margin | 20.6% (EBITDA of ₹336 cr, more than double the previous year) |
| Debt to equity | 3.21 times at 30 June 2026 including lease liabilities (2.00 times excluding leases) |
EBITDA is earnings before interest, tax, depreciation and amortisation, a measure of operating profit. FY26 means the financial year ended 31 March 2026.
Valuation versus peers
At the upper band of ₹693 the market capitalisation after the issue is about ₹7,498 cr, which is about 171.1 times FY26 profit after tax of ₹44 cr (price to earnings, or P/E, here is market capitalisation divided by profit after tax). On the pre-issue share count the multiple is about 160 times FY26 earnings per share, and about 38 times on annualised April to June 2026 earnings (broker notes).
The RHP peer table lists 10 listed hospital companies with an average P/E of 67.8 times, a range of 42.9 to 116.4 times and a median of 60.7 times, so the issue is priced well above the peer median on FY26 profit. The RHP notes that, in the periods compared, the company had the lowest return on capital and equity and the highest debt to equity ratio among those peers.
Strengths
Eight hospitals and 2,211 beds with a high-acuity specialty mix (about 74.7% of revenue); EBITDA more than doubled to ₹336 cr and profit turned positive in FY26; first-mover positions in Tier-2 markets such as Patna, Ranchi and Srinagar; occupancy near 70% and revenue growth near 19% a year; capital-light expansion to 3,011 beds by March 2028 (broker notes).
Key risks
The company made losses in FY25 and FY24 and has the highest debt to equity among its listed peers. Subsidiaries in Ranchi and Srinagar lost about ₹52 cr in FY26. Staff attrition was 60.4% in FY26. Five of the eight hospitals are in North India and give about 66% of revenue, and six of eight are on leased premises. Contingent liabilities were 89.55% of net worth at June 2026. A member of the promoter group appears in the CIBIL wilful defaulter database and credit ratings were downgraded in FY25. ₹950 cr of the ₹1,450 cr issue is an Offer for Sale, and 360 ONE funds withdrew from the sale before the RHP.
Use of proceeds
From the fresh issue of ₹500 cr, ₹320.90 cr will repay or prepay certain borrowings of the company, ₹54.10 cr will be invested in wholly owned subsidiary Plus Medicare Hospitals Private Limited (Srinagar hospital) to repay or prepay its borrowings, and the balance is for general corporate purposes. The Offer for Sale proceeds of ₹950 cr go to the selling shareholders, Dr Dharminder Kumar Nagar (₹300 cr) and Commelina Ltd (₹650 cr).
Anchor investors
Anchors put in ₹652.50 cr at the upper band of ₹693 on 19 Oct 2026, across 39 funds. Reported participants include SBI, HDFC, ICICI Prudential, Kotak and Whiteoak Capital mutual funds, Abu Dhabi Investment Authority, BlackRock and Eastspring Investments.
Frequently asked questions
What is the Paras Healthcare IPO price band and lot size?
The price band is ₹660 to ₹693 per share and one lot is 21 shares, so the minimum application at the upper band is ₹14,553.
Is the Paras Healthcare IPO a fresh issue or an Offer for Sale?
It is both: a fresh issue of ₹500 cr and an Offer for Sale of ₹950 cr by Dr Dharminder Kumar Nagar (₹300 cr) and Commelina Ltd (₹650 cr), a total of about ₹1,450 cr.
When does the Paras Healthcare IPO open, close and list?
Anchor bidding was on 19 Oct 2026, the issue is open from 21 Oct to 23 Oct 2026, allotment is expected on 26 Oct, refunds and credit of shares on 27 Oct, and listing on BSE and NSE on 28 Oct 2026.
Who are the lead managers and registrar?
The book running lead managers are JM Financial, BofA Securities India and Nuvama Wealth Management. The registrar is MUFG Intime India Private Limited.
What is the valuation compared with peers?
At the upper band the market capitalisation is about ₹7,498 cr, or about 171.1 times FY26 profit after tax, against a peer median of 60.7 times in the RHP peer table.
How much will the promoter hold after the IPO?
The promoter, Dr Dharminder Kumar Nagar, holds 72.80% before the issue and about 63.95% after it, as he sells ₹300 cr of shares and new shares are issued.
Live subscription status and all other IPOs on the IPO dashboard
Share: WhatsApp · Telegram · X · LinkedIn