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Chandan Healthcare IPO: Things Smart Investors Need to Know

Chandan Healthcare Limited, a well-established name in North India’s diagnostic sector, is set to launch its IPO, offering investors an opportunity to be part of its growing success. Incorporated in September 2003, the company has built a robust network of diagnostic centres, providing comprehensive pathology and radiology testing services. As of December 31, 2024, it operates one flagship laboratory, seven central laboratories, and twenty-six satellite centres, along with over 300 collection centres across 23 cities in Uttar Pradesh and 19 in Uttarakhand. This widespread presence positions Chandan Healthcare as a key player in India’s booming healthcare industry.

The company boasts an extensive test menu, offering 1,496 different tests across multiple specialities. These include 481 routine pathology tests in biochemistry and haematology, 1,015 specialised tests such as immunohistopathology and molecular pathology, and 545 radiology tests, including x-rays, ultrasonography, CT, MRI, and advanced scans. Equipped with eleven CT scanners, four MRI machines, and a team of 15 radiologists, 23 pathologists, and over 161 skilled professionals, Chandan Healthcare ensures high diagnostic accuracy. As it prepares for its IPO, investors should evaluate its market position, technological advancements, and growth potential to make an informed decision.

For more details, visit the Chandan Healthcare IPO page.

Chandan Healthcare IPO Details and Objectives

Details

Information

IPO Date

February 10, 2025 to February 12, 2025

Issue Size

67,52,000 shares

(aggregating up to ₹107.36 Cr)

Price Band

₹151 to ₹159 per share

Lot Size

800 shares

Listing At

NSE SME

Market Maker

R.K.Stock Holding Private Limited

Purpose of the IPO

  • Establishing a flagship diagnostic centre in Jankipuram, Lucknow, Uttar Pradesh.

  • Setting up a central reference laboratory in Ayodhya, Uttar Pradesh.

  • Developing a central reference laboratory in Ashiyana, Lucknow, Uttar Pradesh.

  • Funding general corporate needs.

Timeline of Chandan Healthcare IPO

Event

Date

IPO Open Date

Monday, February 10, 2025

IPO Close Date

Wednesday, February 12, 2025

Basis of Allotment

Thursday, February 13, 2025

Initiation of Refunds

Friday, February 14, 2025

Credit of Shares to Demat

Friday, February 14, 2025

Listing Date

Monday, February 17, 2025

Cut-off time for UPI mandate confirmation

5 PM on February 12, 2025

Pricing & Lot Size of Chandan Healthcare IPO

Price Band for the IPO

  • ₹151 to ₹159 per share

Minimum Lot Size and Application Details

Application

Lots

Shares

Amount

Retail (Min)

1

800

₹1,27,200

Retail (Max)

1

800

₹1,27,200

HNI (Min)

2

1,600

₹2,54,400

How to Apply for the Chandan Healthcare IPO?

Online Application Process

  • Log in to Your Trading Account
    Access your trading account through your broker’s platform.

  • Navigate to the IPO Section
    Go to the IPO section to view active IPO listings.

  • Select Chandan Healthcare IPO
    Find "Chandan Healthcare IPO" and click on the ‘Apply’ button.

  • Enter Application Details
    Specify the number of lots (minimum lot size: 800 shares) and the bid price within the range of ₹151 to ₹159 per share.

  • Provide Your UPI ID
    Enter your UPI ID for payment authorization. Ensure that sufficient funds are available in your linked account.

  • Review and Submit
    Verify all the details entered before submitting the application. Approve the UPI mandate before 5 PM on February 12, 2025, to complete your application process.

    Financial Health and Performance

Key Financial Metrics

  • Total Assets: Grew from ₹81.23 crore in FY22 to ₹170.06 crore as of December 2024.

  • Revenue: Reached ₹167.99 crore in FY24.

  • Profit After Tax (PAT): Stood at ₹17.42 crore for December 2024.

  • Reserves and Surplus: Recorded at ₹34.31 crore (Dec 2024), growing steadily over the years.

  • Total Borrowings: Increased to ₹51.92 crore (Dec 2024) from ₹16.58 crore in FY22.

Recent Performance and Growth Prospects

  • Significant growth in total assets over the past two years.

  • Consistent increase in revenue, reflecting strong business expansion.

  • Steady profitability with a notable rise in earnings.

  • Strengthened financial reserves, showing sustainable growth.

  • Increased borrowings to support expansion and future growth plans.

Investment Risks and Opportunities

Potential Risks of Investing in the IPO

  • High dependency on regional markets – Chandan Healthcare operates primarily in Uttar Pradesh and Uttarakhand, which may limit its nationwide expansion and revenue diversification.

  • Rising operational costs – Expanding diagnostic centres and upgrading technology could increase expenses, impacting profitability in the short term.

Opportunities and Growth Potential

  • Expanding presence in North India – The company is setting up new diagnostic centres and laboratories, enhancing its service reach and market dominance.

  • Growing healthcare demand – Increasing awareness of preventive healthcare and diagnostic services in India presents a strong growth opportunity for the company.

Key Performance Indicator (KPI)

KPI

Values

ROE

47.50%

ROCE

35.20%

Debt/Equity

1.02

RoNW

39.54%

PAT Margin

9.26

Price to Book Value

7.73

Chandan Healthcare IPO Registrar & Lead Managers

Registrar

Lead Manager(s)

Kfin Technologies Limited

Unistone Capital Pvt Ltd

Company Address of Chandan Healthcare Ltd

Chandan Healthcare Limited

Biotech Park, Sector G,

Jankipuram, Kursi Road,

Lucknow-226021

Phone: +91 8429024430

Email: secretarial@chandan.co.in

Website: https://www.chandandiagnostic.com/

Conclusion

Chandan Healthcare Limited’s IPO marks a significant step in its expansion strategy, aiming to enhance its diagnostic network in North India. With plans to establish new flagship and central reference laboratories, the company is focused on strengthening its infrastructure and service capabilities. Its financial growth, supported by increasing revenue and asset base, reflects a steady operational trajectory.

As the IPO progresses, market participants may assess various factors, including regional concentration, operational costs, and industry trends, before making investment decisions. The healthcare diagnostics sector continues to evolve, and Chandan Healthcare’s strategic initiatives position it within a competitive landscape. For more details, visit the Chandan Healthcare IPO page.

Interested in more opportunities? Check out our Upcoming IPO section for new listings and don’t forget to check your IPO allotment status for Chandan Healthcare IPO.

Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.

This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.

For All Disclaimers Click Here: https://www.bajajbroking.in/disclaimer

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Frequently Asked Questions

Who is the CEO of Chandan Healthcare Ltd?

Answer Field

The chairman and managing director of Chandan Healthcare Ltd. is Dr. Amar Singh.

When will the Chandan Healthcare IPO open for subscription?

Answer Field

The Chandan Healthcare IPO will open for subscription on February 10, 2025, and will close on February 12, 2025.

What is the company’s core business, and how sustainable is its business model in the long term?

Answer Field
Chandan Healthcare Ltd. operates in the diagnostic services sector, offering pathology and radiology testing across Uttar Pradesh and Uttarakhand. Its extensive network includes central laboratories, satellite centres, and collection centres. The company’s business model is based on diagnostic service expansion and technological advancements, which align with the increasing demand for healthcare services in India. However, sustainability depends on market competition, cost management, and regulatory compliance.

What is the issue size of the Chandan Healthcare SME IPO?

Answer Field

The issue size of the Chandan Healthcare SME IPO is 67,52,000 shares, aggregating up to ₹107.36 crore.

What is pre-apply for the Chandan Healthcare SME IPO?

Answer Field

'Pre-apply' refers to the ability of investors to submit their IPO applications before the official opening date. This ensures early processing once the IPO subscription period begins.

When will I know if my Chandan Healthcare IPO order is placed?

Answer Field

Once you submit your IPO application and approve the UPI mandate, the confirmation is typically received within the same trading day or by the IPO closing date. Investors can check their order status through their broker’s platform or UPI app.

What is the lot size and minimum order quantity of the Chandan Healthcare IPO?

Answer Field

The lot size for the Chandan Healthcare IPO is 800 shares. The minimum order quantity is also 800 shares, amounting to ₹1,27,200 at the lower price band.

What is the allotment date for the Chandan Healthcare IPO?

Answer Field

The basis of allotment will be finalized on February 13, 2025.

Who is the registrar of Chandan Healthcare SME IPO?

Answer Field

The registrar for the Chandan Healthcare SME IPO is Kfin Technologies Limited.

Are there any governance issues or red flags in the company’s leadership or board structure?

Answer Field

There are no reported governance issues or red flags in the provided details. Investors may refer to the company's prospectus, regulatory filings, and financial reports for further insights into its leadership and governance practices.

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