On 16 December 2024, Laxmi Dental, a big name in dental products, got the green light from the Securities and Exchange Board of India (SEBI) to launch its IPO. This approval is a big deal for the company as it gears up to make its mark on the stock market.
Laxmi Dental IPO Structure
The IPO has two main parts:
- Fresh Issue: Issuing new equity shares worth INR 150 crore.
- Offer for Sale (OFS): A total of 1.28 crore shares will hit the market, coming from promoters and other shareholders, including OrbiMed Asia II Mauritius.
There’s also a possibility of a pre-IPO placement where the company might raise another INR 30 crore, which would mean a smaller fresh issue.
Laxmi Dental – Use of IPO Proceed
According to their DRHP, the cash from the fresh issue will go towards:
- Pouring money into their subsidiary, Bizdent Devices.
- Buying new machinery to ramp up production.
- Clearing some debts to keep the company’s finances healthy.
- Covering general corporate costs to fuel further growth.
Laxmi Dental kicked off its IPO journey by handing in its preliminary papers to SEBI back in September 2024. The approval came through with an observation letter on 16 December 2024. In SEBI’s book, that’s the official go-ahead to launch the IPO.
Laxmi Dental – Overview
Laxmi Dental, a leading dental solutions provider, operates from Mumbai with a global reach extending to over 95 countries. The company offers a comprehensive range of products including custom dental prosthetics like crowns and bridges, branded orthodontic aligners, and specialized pediatric dental items. With ISO and US FDA-certified labs, the company has established itself as one of India’s largest dental labs by revenue, focusing on both local and international markets. The company, employing over 1800 staff, has recently received SEBI approval for an IPO in December 2024, aiming to fund expansion, technology upgrades, and debt repayment. Led by Sameer Merchant and Rajesh Khakhar, Laxmi Dental is committed to advancing digital dentistry while maintaining high-quality, customer-oriented services.
Conclusion
The go-ahead from SEBI for Laxmi Dental’s IPO is a leap forward in their saga of growth. With a clear plan and robust support from investors. Laxmi Dental IPO could stir up quite the buzz in the investment scene. Stay tuned for further updates on the upcoming IPO as developments unfold. It promises to be an intriguing journey
As of November 2024, the Indian primary market has seen a total of 76 IPOs. Out of this, 58 listings have achieved positive performance. However, there were challenges as well, with 18 IPOs experiencing negative returns. Notably, the average listing day return stands at an impressive 27.47%, underscoring the potential for significant gains in this dynamic market. For more information related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.
