Wockhardt Hospitals plans to raise Rs 1,000 cr
Wockhardt Hospitals Ltd, which has filed its pre-IPO draft red herring prospectus, could be looking at raising Rs 800-1000 crore to fund its expansion and other plans.
According to the prospectus filed with SEBI on August 23, Wockhardt plans to offer 30 crore equity shares of Rs 10 each. This includes a net issue to the public of 29.5 crore equity shares and a reservation of up to five lakh shares for eligible employees. The issue will constitute 28.77 per cent of the post -issue paid-up equity share capital of the company.
The healthcare major is building five new hospitals at Kolkata, Delhi, Mumbai, Kalyan, and expanding the existing Mumbai facility. It is expanding into seven tier-2 cities through ‘brown-field’ projects - all at an estimated expenditure of Rs 617.25 crore. Part of the issue proceeds will also go into repaying short-term loans of Rs 195 crore.
The expansion into Surat, Madgaon in Goa, Bhopal, Nashik, Nagpur and Bhavnagar will add 12 hospitals to the network by 2009-end, the prospectus says.
For the fiscal year ended March 31, 2007, Wockhardt Hospitals Ltd’s total income was Rs 236.7 crore; EBITDA Rs 39.43 crore and net profit Rs 15.54 crore. Net worth was Rs 77.52 crore as on June 30, 2007 and Rs 71.37 crore as on March 31, 2007.
The current shareholders in Wockhardt Hospitals Ltd are DHPL (Dartmour Holdings P Ltd) with 81.79 per cent equity; Carol Info Services Ltd with 9.09 per cent stake; Wockhardt Ltd Chairman, Habil F. Khorakiwala, also with 9.09 per cent stake; Asgar Y.Khorakiwala with 0.01 per cent share and WHL’s Vice-President - Operations, Vishal Bali, with 5,000 shares.
