Medistep Healthcare Limited, a dynamic and innovative pharmaceutical company, has announced its Initial Public Offering (IPO) worth ₹16.09 crore under a fixed price issue. The IPO will open for subscription on August 8, 2025, and close on August 12, 2025. The allotment date is scheduled for August 13, 2025, with the tentative listing on BSE SME set for August 18, 2025.

The company, known for manufacturing sanitary pads, energy powder, and trading diverse pharmaceutical products, has established itself as a trusted brand in the healthcare sector. With a strong focus on improving global well-being, Medistep Healthcare has consistently delivered high-quality products backed by exceptional customer service.

IPO Structure and Pricing

The IPO consists entirely of a fresh issue of 37.44 lakh shares at a price of ₹43 per equity share.

• Issue Size: ₹16.09 crore

• Market Capitalisation at IPO price: ₹61.10 crore

• Lot Size: 3,000 shares

• Minimum Investment: 2 lots (6,000 shares) = ₹2,58,000

• Book Running Lead Manager: Fast Track Finsec Pvt Ltd

• Registrar: Cameo Corporate Services Ltd

• Market Maker: Nirman Share Brokers Pvt Ltd

Objectives of the IPO

The net proceeds from the IPO will be utilised for:

1. ₹50.75 lakh for purchase of new plant and machinery to expand manufacturing capacity.

2. ₹1,234.17 lakh for working capital requirements.

3. ₹164.01 lakh for general corporate purposes.

4. Covering issue-related expenses.

Financial Performance

Medistep Healthcare has shown a consistent upward trend in its financial results:

• Revenue from Operations:

  • FY 2025: ₹4,965.85 lakh

  • FY 2024: ₹3,162.52 lakh

  • FY 2023: ₹2,773.69 lakh

• EBITDA:

  • FY 2025: ₹560.11 lakh

  • FY 2024: ₹396.62 lakh

  • FY 2023: ₹142.91 lakh

• Profit After Tax (PAT):

  • FY 2025: ₹414.42 lakh

  • FY 2024: ₹291.35 lakh

  • FY 2023: ₹92.10 lakh

These numbers indicate steady revenue growth and improved profitability.

Valuation and Ratios

• Pre-Issue EPS: ₹4.01

• Post-Issue EPS: ₹2.92

• Pre-Issue P/E: 10.72x

• Post-Issue P/E: 14.74x

• Industry P/E: 69x

• ROCE (FY 2024): 38.91%

• ROE (FY 2024): 29.06%

• RoNW: 24.62%

The IPO appears fairly priced compared to industry peers, though post-issue valuations are on the higher side.

Grey Market Premium (GMP)

As of August 5, 2025, the GMP for Medistep Healthcare IPO stands at ₹4, indicating a possible 9.3% listing gain. However, investors should note that GMP is unofficial and unregulated, based purely on demand and supply in the grey market.

IPO Subscription Details

The IPO opens on August 8, 2025, and closes on August 12, 2025. Investors can check real-time subscription status during the offer period.

Allotment and Listing

• Allotment Date: August 13, 2025

• Listing Date (Tentative): August 18, 2025

• Exchange: BSE SME

Steps to Check Allotment Status:

1. Visit the official allotment status page of Cameo Corporate Services.

2. Select "Medistep Healthcare Limited IPO" from the dropdown.

3. Enter your application number, PAN, or DP Client ID.

4. Submit to view allotment results.

Promoters and Leadership

The company is led by:

• Mr. Girdhari Lal Prajapat

• Mr. Dabhi Vipul Gobarbhai

• Ms. Prajapati Hetalben Girdharilal

They bring extensive industry experience, a strong value system, and strategic vision to guide the company’s growth.

Investment Recommendation

Given the consistent revenue growth, healthy margins, and positive GMP trend, the Medistep Healthcare IPO could be attractive for risk-tolerant investors seeking listing gains. However, due to the SME segment’s volatility and relatively high post-issue valuations, cautious approach is advised.

Medistep Healthcare Limited is a Dynamic and Innovative Pharmaceutical Company that has carved a niche in the Healthcare Industry through its expertise in manufacturing Sanitary pads, Energy powder and Trading a diverse range of Pharmaceutical products. With a strong commitment to improving the well-being of individuals worldwide, the company have emerged as a trusted name in the market, delivering high-quality products and exceptional customer service.

The comapny is led by a professional and experienced management team. The Promoters Mr. Girdhari Lal Prajapat, Mr. Dabhi Vipul Gobarbhai and Ms. Prajapati Hetalben Girdharilal, all have extensive experience in the Indian pharmaceutical industry. The Promoters have been the pillars of the Company’s growth and have built a strong value system for the Company. With their enriching experience and progressive thinking, the comapny is planning to grow in the pharmaceutical Industry.

The Revenues from operations for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹ 4,965.85 Lakh, ₹ 3,162.52 Lakh and ₹ 2,773.69 Lakh. The EBITDA for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹ 560.11 Lakh, ₹ 396.62 Lakh and ₹ 142.91 Lakh. The Profit after Tax for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were were ₹ 414.42 Lakh, ₹ 291.35 Lakh and ₹ 92.10 Lakh respectively. This indicates a steady growth in financial performance.

The Company Key Performance Indicates the pre-issue EPS of ₹ 4.01 and post-issue EPS of ₹ 2.92 for FY24. The pre-issue P/E ratio is 10.72x, while the post-issue P/E ratio is 14.74x against the Industry P/E ratio is 69x. The company's ROCE for FY24 is 38.91%, ROE for FY24 is 29.06% and RoNW is 24.62%. These metrics suggest that the IPO is fairly priced.

The Grey Market Premium (GMP) of Medistep Healthcare showing listing gains of 9.30 %.Given the company's financial performance and the valuation of the IPO, we recommend Risky Investors to Apply to the Medistep Healthcare Limited IPO for Listing gain.

Disclaimer
This article is for educational and informational purposes only and does not constitute financial advice. Investment decisions should be based on individual risk tolerance and consultation with SEBI-registered advisors. Market conditions are volatile and subject to change. Neither the author nor the platform is responsible for losses arising from use of this information.

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