Nephroplus Files for IPO, Aims to Raise ₹2,000 Cr to Fuel Expansion and Cut Debt

Asia’s largest dialysis services provider, Nephrocare Health Services (Nephroplus), has officially filed its draft red herring prospectus (DRHP) with SEBI to launch its initial public offering (IPO). Backed by BVP Trust, Investcorp, and Edoras Investment Holdings, the IPO aims to raise close to ₹2,000 crore.

The issue will consist of a fresh equity share issuance worth ₹353.4 crore and an offer-for-sale (OFS) of 1.28 crore shares by existing stakeholders, including the promoters.

Promoter Sell-Off and Shareholding Structure

The selling shareholders in the OFS include key promoters Vikram Vuppala, BVP Trust, Investcorp, Edoras Investment Holdings, Healthcare Parent, and notable investors like the International Finance Corporation and 360 One Special Opportunities Fund.

On a fully diluted basis, promoters currently own 78.9% of the company, while public shareholders hold the remaining 21.1%.

Additionally, the company may raise another ₹70.68 crore via a pre-IPO placement, which could proportionally reduce the fresh issue size if completed before the IPO launch.

Also Read: Kotak Mahindra Bank Q1 FY26 Results: Higher Provisions Weigh on Profit

Where Will the IPO Funds Go?

Nephroplus plans to use the IPO proceeds to fund future growth and improve its financials:

• ₹129.1 crore will be used to open new dialysis clinics across India.

• ₹136 crore is earmarked for debt repayment.

• The rest will go toward general corporate purposes.

As per its DRHP, the company had outstanding borrowings of ₹280.6 crore as of May 2025.

Nephroplus: Market Leader in Dialysis Care

Founded in 2010 by Vikram Vuppala and Kamal D Shah, Telangana-based Nephroplus has become a healthcare giant in dialysis care. The company offers a wide range of services, including haemodialysis, home dialysis, and mobile dialysis programs.

It is India’s largest dialysis service provider across various metrics—patients served, number of clinics, revenue, and EBITDA. Nephroplus is also Asia’s largest and the fifth-largest globally, with 490 clinics, including 43 international centres in the Philippines, Uzbekistan, and Nepal.

The company competes with major hospitals in the listed space and continues to expand its reach and scale.

Strong Financial Performance in FY25

Nephroplus delivered an impressive financial performance in FY25, reporting a net profit of ₹67.1 crore, up 91% from the previous year. Its revenue also surged 33.5%, reaching ₹755.8 crore.

This strong momentum adds weight to the upcoming IPO and reflects the robust demand for high-quality, affordable dialysis services in India and abroad.

Merchant Bankers and Next Steps

The IPO will be managed by leading investment banks, including ICICI Securities, Ambit, IIFL Capital Services, and Nomura Financial Advisory. The DRHP has been filed, and the IPO launch will follow after receiving regulatory approvals.

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