Mumbai, January 13, 2025: Laxmi Dental Limited’s much-anticipated Initial Public Offering (IPO) opened for public subscription today and has already garnered significant interest. By mid-morning, the issue had been subscribed 1.61 times, driven by robust participation from retail investors.
The retail segment, in particular, recorded an impressive 5.35x subscription, while the non-institutional investor (NII) quota saw 2.25x bookings. Qualified Institutional Buyers (QIBs) are yet to finalize their bids.
IPO Details and Subscription Updates
Laxmi Dental, a leading integrated dental products company backed by OrbiMed, has set the IPO price band between ₹407 and ₹428 per share. The offering comprises a fresh issue of equity shares worth ₹138 crore and an Offer for Sale (OFS) of up to 1.31 crore equity shares.
As of 11:42 AM IST, the IPO had received bids for 1.34 crore shares against the 89.7 lakh shares on offer, according to BSE data.
Key Subscription Metrics (as of 11:42 AM):
•Total Subscription: 1.61x
•Retail Segment: 5.35x
•Non-Institutional Investors (NII): 2.25x
•QIB Segment: Yet to be booked
Investment Rationale and Expert Insights
Experts highlight Laxmi Dental’s position as India’s only fully integrated dental products company, offering a wide range of products including customized crowns, dental aligners, and pediatric dental solutions.
According to brokerage Canara Bank Securities, Laxmi Dental is well-poised for long-term growth in India’s rapidly expanding dental care market, projected to grow at a CAGR of 12.6%, from $3.4 billion in 2023 to $7.8 billion by 2030.
The IPO’s valuation is on the higher side, with a P/E ratio of 89.17x for FY2024 and a projected 48.75x for FY2025E. Despite this, experts suggest that the diversified product portfolio, robust professional network, and adoption of digital solutions make it a promising investment for long-term gains.
GMP and Listing Details
The Grey Market Premium (GMP) for Laxmi Dental IPO indicates positive sentiment, with shares trading at a premium of ₹65-70 in the unofficial market.
Key Dates to Remember:
•Subscription Close: January 15, 2025
•Basis of Allotment: January 16, 2025
•Refunds: January 17, 2025
•Demat Credit: January 17, 2025
•Listing Date: January 20, 2025
Conclusion
Laxmi Dental’s IPO debut has seen strong interest, particularly from retail investors, underscoring its appeal in a rapidly growing dental market. Investors should evaluate the company’s growth potential, financials, and industry positioning before making a decision.
