ABH Healthcare Ltd SME IPO: What You Should Know

A Ferozepur-based 150-bed multi-specialty hospital, operating as Anil Baghi Hospital, opens its Rs 34.98 crore NSE SME issue on August 24 — 25 medical specialties, 30+ insurer/TPA tie-ups, government-scheme empanelment

A multi-specialty healthcare provider running a single 150-bed hospital in Punjab plans to raise Rs 34.98 crore via an SME listing on NSE SME.

ABH Healthcare Ltd, operating as Anil Baghi Hospital, opens for subscription on August 24 with the issue closing on August 27.

ABH Healthcare Ltd sits in the multi-specialty hospital space. Incorporated in 2021 and operating as Anil Baghi Hospital, the company runs a 150-bed multi-specialty healthcare facility offering services across 25 medical specialties from a single location in Ferozepur, Punjab.

The hospital’s payer ecosystem is a core part of the model. It is empaneled with 30 private and public insurers and third-party administrators (TPAs), and participates in key government healthcare schemes including ECHS, Railways, FCI, BSNL, and Ayushman Bharat–ABSSBY. That mix of insurance and government-scheme coverage broadens the patient base beyond pure out-of-pocket payers.

Operating metrics have been improving. Capex per operational bed stood at Rs 29.61 lakh in FY26, supporting efficient capital utilisation, while in-patient department (IPD) volumes rose from 5,723 in FY24 to 6,387 in FY26. Average revenue per occupied bed (ARPOB) improved from Rs 17,808 to Rs 19,992 over the same span, indicating strengthening operational performance and revenue generation per occupied bed.

The revenue base is led by in-patient services. In FY26, In-Patient Department Services contributed Rs 4,428.13 lakh, Out-Patient Department Services Rs 505.38 lakh, Pharmacy Rs 275.89 lakh, and Miscellaneous Operating Revenue Rs 41.29 lakh, for total service revenue of Rs 5,250.69 lakh. Within the inpatient mix, Internal Medicine & Critical Care accounted for 52.40% (Rs 2,674.52 lakh) of FY26 operating revenue.

The company is led by Promoter, Whole-time Director and Chairman Dr. Kamal Baghi, who holds a Master’s degree in Medicine from Guru Nanak Dev University. Associated with the company since January 2022, he brings extensive healthcare-sector experience and founded Anil Baghi Hospital along with several educational institutions in healthcare, including nursing and dental colleges. The promoters are Kamal Baghi, Saurabh Baghi and Vaishali Saini.

Issue Details

Particulars Details
Issue Opens August 24, 2026
Issue Closes August 27, 2026
Listing NSE SME
Listing Date September 1, 2026
Price Band Rs 96 – Rs 102 per share
Issue Size Rs 34.98 crore
Fresh Issue 34,29,600 shares (entirely fresh)
Market Maker 1,72,800 shares
QIB 1,99,200 shares
Retail 15,28,800 shares
NII 15,28,800 shares
Min. Application (Retail) 2 lots / 2,400 shares / Rs 2,44,800
Lead Manager Fedex Securities Pvt. Ltd.
Market Maker Rikhav Securities Ltd.
Registrar Bigshare Services Pvt. Ltd.

 

The objects of the issue are repayment or prepayment of borrowings (Rs 1,700.00 lakh), funding working capital requirements (Rs 500.00 lakh), and funding inorganic growth through unidentified acquisitions and general corporate purposes.

Post-issue, promoters’ holding falls from 100.00% pre-issue to 69.99%.

Price Band Analysis

At the upper price band of Rs 102, ABH Healthcare Ltd is valued at a post-issue P/E of 20.67x and a P/B of 4.73x, which the lead manager characterises as fair. The valuation appears reasonable compared with listed hospital peers, while the healthcare sector benefits from rising healthcare spending, insurance penetration and demand for specialised care.

Financial Performance

Particulars (Rs lakh) FY24 FY25 FY26
Revenue from Operations 4,138.02 4,926.71 5,250.69
EBITDA 689.28 1,319.51 1,471.65
EBITDA Margin (%) 16.66 26.78 28.03
PAT 165.56 534.70 563.94
PAT Margin (%) 4.00 10.85 10.74
RoE (%) 30.33 59.75 39.07
RoCE (%) 14.96 22.70 19.09
EPS (Rs) 2.07 6.68 7.05
Debt to Equity 5.69 3.62 3.20

 

Revenue from operations grew from Rs 4,138.02 lakh in FY24 to Rs 5,250.69 lakh in FY26. EBITDA rose from Rs 689.28 lakh to Rs 1,471.65 lakh, and restated PAT from Rs 165.56 lakh to Rs 563.94 lakh over the same period. EBITDA margin expanded from 16.66% to 28.03%, while PAT margin moved from 4.00% to 10.74%.

Return ratios remain healthy, with RoE at 39.07% and RoCE at 19.09% in FY26, and EPS rising from Rs 2.07 in FY24 to Rs 7.05 in FY26. The balance sheet has deleveraged, with debt-to-equity falling from 5.69x in FY24 to 3.20x in FY26. On FY26 numbers, the company reports a NAV of Rs 21.58, EPS of Rs 7.05, and a pre-issue P/E of 14.47x.

Peer Comparison (as of FY26)

Company EPS (Rs) P/E RoNW (%) NAV (Rs)
ABH Healthcare Ltd. 7.05 14.47 39.07 21.58
Sangani Hospitals Ltd. 2.17 24.52 16.20 23.30
Maitreya Medicare Ltd. -3.64 -34.11 -8.10 42.67
Asarfi Hospital Ltd. 8.47 27.63 18.65 49.62

Risks to Consider

Single-hospital dependence is the central risk. The company’s revenue is entirely dependent on its single hospital in Ferozepur, Punjab, which contributed 100% of standalone operating revenue in both FY26 (Rs 5,104.37 lakh) and FY25 (Rs 4,891.62 lakh), exposing it to concentration and location-specific operational risks.

Dependence on government schemes, PSUs and insurance/TPA tie-ups is significant. In FY26, Government Schemes & PSUs contributed 52.40% (Rs 2,674.68 lakh) of inpatient revenue.

Specialty concentration is notable — Internal Medicine & Critical Care accounted for 52.40% (Rs 2,674.52 lakh) of FY26 operating revenue, indicating key-specialist dependency alongside the geographic concentration.

Customer concentration is meaningful. Top 2 customers contributed 42.51% of FY26 revenue, top 5 customers 55.50%, and top 10 customers 59.15%.

The company remains highly leveraged, with a debt-to-equity ratio of 3.18x in FY26 and outstanding debt of Rs 5,516.38 lakh. Trade receivables increased to Rs 3,310.88 lakh, with receivable days rising sharply to 239 days, indicating elevated working capital requirements and slower cash realisation.

A portion of the issue proceeds is earmarked for inorganic growth through acquisitions that are as yet unidentified.