Nureca will open its Rs 100-crore IPO today on February 2021. The price band is Rs 396-400 per share and the issue will close on February 17. Minimum bid 35 equity shares. Nureca is the 6th IPO this calendar 2021 after IRFC, Indigo Paints, Home First Finance Company, Stove Kraft, and Brookfield India REIT.
India’s Home Health Market
The growth in the home health market is driven by increasing spending power, the growing burden of chronic diseases, and rising awareness of Health and wellness. This market in India and neighbouring countries is pegged at Rs 20,757.0 crore in 2019 and is expected to grow to Rs 38,920.7 crore by 2025 at a CAGR of 11 percent.
Nureca earned a profit of Rs 6.39 crore in the year ended March 2020, a 2.7% over the previous year, and reported 100.1% growth in profit in 2019 at Rs 6.22 crore compared to the previous year. Revenue from operations grew by 60.6% to Rs 99.42 crore in FY20 compared to the previous year and increased 208.7% to Rs 61.9 crore in 2019 compared to the previous financial year. The company clocked a profit of Rs 36.18 crore on revenue of Rs 122.14 crore for the six-month period ended September 2020.
Issue opens on: 15th Feb 2021
Issue closes on: 17th Feb 2021
Price band: Rs. 396-400 per share
Minimum bid: 35 equity shares
Promoter’s Shareholding Right Now
Saurabh Goyal, Chairman and Managing Director, is the promoter of the company and holds 34,99,979 equity shares, representing 46.67 percent of the pre-issue paid-up equity capital of the company. Payal Goyal, part of the promoter group, also holds the same number of shares in the company. They together hold 93.33 percent stake in the company. Investor Yash Shares and Stock Private Limited holds a 5.88 percent stake in the company. Saurabh Goyal had worked with Nectar Life Sciences and has over 10 years of work experience in the marketing division.
Nureca is a B2C company. It is a digital-first company wherein it sells products through online channel partners such as e-commerce players, distributors, and retailer. The Company is engaged in the business of home healthcare and wellness products. It enables customers with tools to help them monitor chronic ailments and other diseases to improve their lifestyle. Nurcea classifies its product portfolio into five categories such as chronic device products, orthopaedic products, mother and child products, nutrition supplements, and lifestyle products. Dr. Trust is its flagship brand, which enables the users to effectively monitor chronic alignments and improve their lifestyle. Dr. Physio is used for the products under orthopaedic categories such as electric massagers, wheelchairs, and walkers. Trumom brand is used for the products under the mother and child care category. The company has an asset-light business model and competitive products and aims to diversify and strengthen the market by enabling itself to cater to a wide range of geographies and customer segments.