Sagility India IPO day 1: Issue subscribed 0.22 times

Sagility India’s initial public offering (IPO) opened for subscription on November 5, 2024. A provider of technology-focused solutions and services to the healthcare industry, Sagility intends to raise ₹2,106.60 crore through its book-built issue.

Sagility India IPO Key Details:

IPO Open Date: November 5, 2024

IPO Close Date: November 7, 2024

Lot Size: 500 shares

Price Band: ₹28 - ₹30 per share

Allotment Date: November 8, 2024

Initiation of Refunds: November 8, 2024

Credit of Shares to Demat: November 11, 2024

Listing Date: November 12, 2024

Sagility India Issue Details

The ₹2,106.60 crore IPO does not include any issue of fresh equity shares. The issue intends to raise funds entirely through an offer-for-sale of 70.22 crore shares. The company has offered 44.88% of the shares to anchor investors.

Qualified institutional buyers (QIBs) have been offered 29.92% of the shares, while the portion set aside for non-institutional and high-net-worth individuals is 14.96%. The company has offered 9.97% of the total issue to the retail segment and 0.27% to the employees.

Sagility India raised ₹945.40 crore from anchor investors, amounting to 31.51 crore shares. The bid date for anchor investors was November 4, 2024. Meanwhile, the anchor lock-in period for 50% of the shares is 30 days, while the lock-in period for the remaining shares is 90 days.

Utilisation of IPO Proceeds

Since the issue is entirely an offer-for-sale, the proceeds will go to the shareholders offering the shares. The company expects that it will benefit from getting its shares listed on the stock exchanges.

Sagility IPO Subscription Status

Sagility India’s IPO was off to a slow start on the first day, with lacklustre interest from the QIB and NII segments. At the time of writing, the QIB portion saw bids for 49,000 shares out of the 21 crore shares set aside for the segment. The NII portion was subscribed 0.07 times with bids received for 76.73 lakh shares. However, the retail segment was subscribed 1.09 times, with the company receiving bids for 7.6 crore shares. The employee portion was subscribed 1.34 times.

Sagility India’s IPO was subscribed a total of 0.22 times at the time of writing.

Sagility IPO Price Band and Lot Size

Sagility India IPO has a minimum lot size of 500 shares. The price band for the issue is set at ₹28-30. To apply to the Sagility India IPO, an investor will have to make a minimum investment of ₹15,000. The minimum lot size for small non-institutional investors and big non-institutional investors is set at 14 lots and 67 lots, respectively.

About Sagility India

Sagility provides technology-oriented services largely for health insurance companies and healthcare providers in the US. The company uses its expertise in the healthcare domain to focus on optimising the member-patient experience through its solutions that include case management, member engagement, payment integrity, and analytics.

For the quarter ended June 30, 2024, Sagility India reported a 10.66% year-on-year (YoY) rise in total income at ₹1,247.75 crore. The company’s net profit for the quarter declined 47.54% YoY to ₹22.29 crore. In FY24, the company reported a 59% YoY jump in net profit at ₹143.57 crore, while the total income was up 12.87% YoY at ₹4,781 crore.