Vijaya Diagnostic Centre Ltd, which is backed by private equity firm Kedaara Capital, has filed draft papers for an initial public offering (IPO).
The public issue is an offer for sale by the shareholders and promoters of up to 35.68 million equity shares, or 35% stake.
VCCircle had reported in March that Vijaya was looking to float an IPO this year.
Promoter S Surendranath Reddy will sell up to 5 million shares, and Kedaara, which had invested through its vehicles Karakoram and Kedaara Capital Alternative Investment Fund 1, will offload up to 29 million shares and 1.1 million shares, respectively.
Promoters hold a 60% stake in Vijaya while Karakoram holds 38.56% stake and Kedaara Capital 1.44%.
Kedaara had invested Rs 350 crore in Vijaya in 2016.
Vijaya is the second diagnostics firm to file for an IPO this year. Last month, Krsnaa Diagnostics, backed by Somerset, Phi Capital and Kitara, also filed draft papers to go public. Vijaya and Krshnaa will join Dr Lal PathLabs, Thyrocare Technologies and Metropolis Healthcare on the bourses once their IPO sails through.
Vijaya, which was founded in 1981 by Surendranath Reddy, provides around 740 routine and 870 specialised pathology tests and about 220 basic and 320 advanced radiology tests.
It has 80 diagnostic centres and 11 reference laboratories across 13 cities and towns in the states of Telangana and Andhra Pradesh and in the National Capital Region and Kolkata. It derives 96.2% of its revenues from Hyderabad and rest of Telangana and Andhra Pradesh.
For the fiscal years 2021, 2020 and 2019, Vijaya clocked total income of Rs 388.59 crore, Rs 354.18 crore and Rs 302.9 crore, respectively. Its profit for the year was Rs 84.91 crore, Rs 62.5 crore and Rs 46.27 crore, respectively, during the periods under review.
ICICI Securities, Edelweiss Financial Services, and Kotak Mahindra Capital Co are the bankers to the issue.