Star Imaging Path Lab Limited has made a notable debut in the SME IPO space with its ₹69.46 crore public issue, which received significant investor interest, culminating in 5.04 times subscription by the close of its final day on 12 August 2025. The IPO comprised a fresh issue of 39.20 lakh shares worth ₹55.66 crore and an offer for sale (OFS) of 9.72 lakh shares totaling ₹13.80 crore. The subscription window opened on 8 August 2025 and closed on 12 August 2025, with allotment expected on 13 August 2025 and listing on BSE SME scheduled for 18 August 2025.

The company has set its price band at ₹135 to ₹142 per share, with a lot size of 1,000 shares. Retail investors must apply for a minimum of two lots (2,000 shares), translating into an investment of ₹2,84,000 at the upper price band. At ₹142 per share, market capitalisation is estimated at ₹247.36 crore.

SHARE INDIA CAPITAL SERVICES PRIVATE LIMITED is the book running lead manager, KFIN TECHNOLOGIES LIMITED is the registrar, and Share India Securities Limited is the market maker for the issue.

On the anchor investor front, Star Imaging Path Lab successfully raised ₹18.51 crore by allocating 13,04,000 equity shares at ₹142 per share, demonstrating robust institutional confidence in the offering.

The Grey Market Premium (GMP) for the IPO has been hovering around ₹18, suggesting potential listing gains of 12.67%. However, as always, GMP is an informal indicator and should be treated cautiously, as it reflects only unorganised market sentiment.

Founded as the high-tech wing of Janta X-Ray Clinic established in 1978, Star Imaging Path Lab Limited stands as the only private diagnostic brand in Delhi NCR offering Radiology, Pathology, Cardiology, and Neurology under one roof. With over three decades of expertise, it caters to all three segments of the healthcare value chain—Panels, Referrals, and Preventive care.

The company is spearheaded by Mr. Pawan Gupta, with 21 years of expertise in financial strategy and market analysis, and Ms. Chhaya Gupta, with 7.5 years of experience in human resources and operations.

Financially, Star Imaging Path Lab has displayed strong revenue growth:

• FY2023: ₹5,868.18 lakh revenue, ₹597.07 lakh EBITDA, ₹58.29 lakh PAT

• FY2024: ₹7,997.42 lakh revenue, ₹2,364.67 lakh EBITDA, ₹1,245.38 lakh PAT

• FY2025: ₹8,378.74 lakh revenue, ₹2,888.88 lakh EBITDA, ₹1,595.54 lakh PAT

The company’s pre-issue EPS for FY24 stands at ₹11.8, dropping to ₹9.16 post-issue. Its pre-issue P/E ratio is 12.03x and post-issue P/E ratio is 15.50x, indicating a fully priced IPO. ROCE at 29.92%, ROE at 41%, and RoNW at 40.65% highlight strong profitability and efficient capital usage.

While the financial performance is commendable, the IPO valuation leaves little room for aggressive upside. Analysts suggest that the issue may be suitable for risk-tolerant investors seeking short-term listing gains, given the promising GMP and consistent operational performance. Conservative investors may prefer to wait for post-listing price stabilisation before taking positions.

With its well-established brand, comprehensive diagnostic offerings, and consistent growth trajectory, Star Imaging Path Lab Limited’s IPO has managed to attract diverse investor interest. The upcoming listing on 18 August 2025 will determine whether the strong subscription and GMP translate into actual market performance.

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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