Medistep Healthcare is launching its IPO on the SME platform from August 8, 2025, priced at ₹43 per share. The company aims to raise ₹16.09 crore to invest in manufacturing expansion, new machinery, and working capital requirements. The grey market premium is ₹12, indicating potential listing gains.
Emerging healthcare and pharma company Medistep Healthcare is launching its Initial Public Offer (IPO) on the SME platform from August 8 to August 12, 2025. The company aims to raise ₹16.09 crore at a price of ₹43 per share. It plans to use these funds to expand its manufacturing unit, purchase new machinery, meet working capital needs, and manage corporate expenses. The company aims to increase the reach of health and hygiene products in rural and urban areas.
Price Band Fixed at ₹43 Per Share
The company has fixed the price band for its IPO at ₹43 per equity share. To invest in this issue, investors will have to apply in a lot size of at least 3000 shares. This issue will primarily attract investors who are looking for good returns with risk in small-cap and mid-cap companies.
Medistep Healthcare is preparing to raise a total of ₹16.09 crore from the market through its public issue. Under this issue, the company will issue approximately 37,44,000 equity shares with a face value of ₹10.
Share Allocation Structure
Out of this IPO, 17.79 lakh shares have been reserved for retail investors. At the same time, 17.76 lakh shares will be available to non-institutional investors, and 1.89 lakh shares have been earmarked for market makers. This may provide good opportunities for retail investors, as special attention is given to retail participation in the SME segment.
Medistep Healthcare's Managing Director, Girdhari Lal Prajapati, stated that this IPO will strengthen the company's expansion efforts. He said that this amount will not only increase the company's production capacity but will also strengthen their reach in domestic and foreign markets. According to Prajapati, the company has a broad product portfolio, which includes sanitary pads, pharma, nutraceuticals, surgical products, and intimate care-related items.
Low Cost and Strong Network are the Company's Strengths
Established in 2023, the company's biggest strength is its low-cost production model and b distribution network. The company supplies its products across the country through retail channels and distributors. Its goal is to make health and hygiene products available at affordable prices in both rural and urban markets.
Medistep Healthcare's performance also appears to be improving financially. The company recorded revenue of ₹3907.19 lakh in FY2023-24, which increased to ₹4965.48 lakh in 2024-25. Talking about EBITDA, it has also increased from ₹454.2 lakh to ₹560 lakh. At the same time, net profit (PAT) increased from ₹332.76 lakh in FY24 to ₹414.42 lakh in FY25.
After being listed on the stock market, Medistep Healthcare's estimated market cap will be around ₹61.10 crore. This figure has been prepared based on the company's current financial situation and share price.
What the IPO's Grey Market Premium Indicates
According to the latest information coming from the market, the Grey Market Premium (GMP) of Medistep Healthcare's IPO is being reported as ₹12. This means that at an issue price of ₹43, this share can open at around ₹55 at the time of listing. According to this, investors can get a potential listing gain of approximately 27.91 percent per share.
Good Response Expected in the Market
Many new options are emerging in the IPO market at this time, but investors are showing special interest in sectors like healthcare and pharma. In such a situation, Medistep Healthcare's issue can also generate good demand, especially among those investors who like to invest in emerging companies on the SME platform in the early stages.
Awareness about health and hygiene is increasing rapidly in the country. The demand for sanitary napkins and other intimate care products is also increasing in rural areas. Also, there are large-scale expansion possibilities in the pharmaceutical and nutraceutical segments.
Company's Focus on Expansion
Medistep Healthcare has made it clear that a large part of the amount raised from the IPO will be used to increase the company's manufacturing capacity. This will speed up production and the company will be able to strengthen its hold in the market as much as possible.
