Star Imaging and Path Lab Limited IPO has opened for subscription and is drawing attention due to its strong brand presence in the diagnostic sector of Delhi NCR and a promising Grey Market Premium (GMP) that signals positive listing gains. The company, with a history rooted in Janta X-Ray Clinic (established in 1978), has transformed into a comprehensive healthcare brand providing Radiology, Pathology, Cardiology, and Neurology under one roof.

With over three decades of expertise, Star Imaging Path Lab Limited is the only private diagnostic brand across Delhi NCR that operates across all three key healthcare segments — Panels, Referrals, and Preventive Care.

IPO Size and Structure

The Star Imaging and Path Lab IPO is a Book Built Issue of ₹69.46 crore, comprising:

• Fresh Issue: 39.20 lakh shares worth ₹55.66 crore.

• Offer for Sale (OFS): 9.72 lakh shares worth ₹13.80 crore.

The IPO opened on August 08, 2025 and closed on August 12, 2025. The allotment date is August 13, 2025, while shares are expected to be listed on the BSE SME on August 18, 2025.

The price band has been fixed between ₹135–₹142 per share. At the upper end, the market capitalisation will be approximately ₹247.36 crore. The lot size is 1,000 shares, and retail investors must apply for a minimum of 2 lots (2,000 shares), requiring an investment of ₹2,84,000.

The IPO is being managed by Share India Capital Services Pvt. Ltd. as the Book Running Lead Manager. KFin Technologies Ltd. is the Registrar, while Share India Securities Ltd. is the Market Maker.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) for the Star Imaging IPO is reported at ₹18, indicating a potential 12.67% listing gain. However, GMP is an informal indicator based on unorganised market trades and should be used only as a reference.

Promoters and Management

The company is led by:

• Mr. Pawan Gupta, with over 21 years of experience in financial strategy and market analysis, has been instrumental in growth through data-driven decisions and strategic partnerships.

• Ms. Chhaya Gupta, with 7.5 years of experience in HR and operations, manages the organisational efficiency and employee structure.

Financial Performance

The company has shown steady growth in revenues and profitability over the last three fiscal years:

• Revenue from Operations: ₹5,868.18 lakh in FY23 → ₹7,997.42 lakh in FY24 → ₹8,378.74 lakh in FY25.

• EBITDA: ₹597.07 lakh in FY23 → ₹2,364.67 lakh in FY24 → ₹2,888.88 lakh in FY25.

• Profit After Tax (PAT): ₹58.29 lakh in FY23 → ₹1,245.38 lakh in FY24 → ₹1,595.54 lakh in FY25.

This reflects strong operational efficiency and improved profit margins, making the company an attractive proposition for investors.

Valuation Metrics

• Pre-Issue EPS (FY24): ₹11.8

• Post-Issue EPS (FY24): ₹9.16

• Pre-Issue P/E Ratio: 12.03x

• Post-Issue P/E Ratio: 15.50x

• Industry P/E Ratio: higher than 20x

• ROCE (FY24): 29.92%

• ROE (FY24): 41.00%

• RoNW (FY24): 40.65%

These indicators suggest the IPO is fully priced, but still leaves room for listing gains given its financial growth trajectory.

Objectives of the IPO

The net proceeds from the IPO will be used for:

1. Expansion of healthcare facilities and diagnostic infrastructure.

2. Funding working capital requirements to support day-to-day operations.

3. General corporate purposes, including strengthening the balance sheet.

Analyst View – Should You Apply?

Analysts note that the Star Imaging and Path Lab IPO presents a mixed picture:

• Positive Factors: Strong brand presence in Delhi NCR, consistent revenue growth, diversified services, attractive ROE and ROCE.

• Concerns: Fully priced valuations and a high minimum investment of ₹2,84,000, which limits retail participation.

The GMP of ₹18 indicates short-term listing gains of about 12.67%, making this IPO attractive for risk-taking investors looking for quick returns. However, conservative investors should evaluate the long-term growth story before applying.

Final Thoughts

The Star Imaging and Path Lab IPO represents a company with deep roots in the diagnostic sector, strong financial performance, and robust growth potential. Its listing on BSE SME provides an opportunity for investors to participate in the healthcare growth story.

While the IPO is fully priced, the GMP suggests immediate listing gains, making it suitable for risk-tolerant investors. For long-term players, the investment decision depends on confidence in the healthcare expansion plans of the company.

The Upcoming IPOs in this week and coming weeks are Mangal Electrical Industries, LGT Business Connextions, Vikram Solar, Gem Aromatics, Studio LSD, Shreeji Shipping Global, Patel Retail.

The Current active IPO are Regaal Resources, Mahendra Realtors and Infrastructure.

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