Gujarat Kidney and Super Speciality IPO: Healthcare in Focus

Gujarat Kidney and Super Speciality Hospital’s mainboard IPO has successfully closed with a 5x subscription, reflecting the defensive allure of the healthcare sector. Priced at ₹114, the company is looking to utilize the ₹250 crore raised to set up a new multi-specialty unit in Ahmedabad and upgrade their existing transplant facilities. The listing is slated for December 30, 2025.\n\nThe healthcare industry in India is currently undergoing a "corporatization" phase, where regional hospitals are scaling up to compete with giants like Apollo and Fortis. Gujarat Kidney has a strong local brand and an excellent track record in nephrology and urology, which account for 60% of their revenue. This specialization allows them to command higher ARPOB (Average Revenue Per Occupied Bed) than general hospitals.\n\nAnalysts have noted that the IPO was priced fairly, giving investors some room for listing gains. The Grey Market Premium has remained stable at ₹5-₹7, suggesting a positive but non-speculative listing. The institutional portion (QIB) was subscribed 3.5x, indicating that long-term funds are comfortable with the hospital’s growth trajectory.\n\nA potential challenge for the company is the high cost of medical equipment and the difficulty of attracting top-tier surgical talent in a competitive market. However, their partnership with local medical colleges ensures a steady pipeline of junior doctors and nursing staff. Their debt-free status post-IPO will also allow them to fund future expansions through internal accruals.\n\nFor those who received allotment, Gujarat Kidney is a "Compounder" play. Healthcare stocks tend to be less volatile during market downturns and provide steady growth over several years. If the stock lists at a small premium, it remains a good hold for those looking to build a diversified portfolio in the healthcare services segment.