Medi Assist Healthcare Services has filed its draft red herring prospectus (DRHP) with the capital markets regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial share sale. This is the medical insurance provider’s second attempt to go public.
Earlier, the insurer had filed preliminary papers with SEBI in May 2011, for floating an IPO but deferred the maiden public issue amid pandemic-induced rough market conditions.
According to the fresh DRHP, the initial public offering (IPO) is entirely an offer for sale of up to 2.8 crore equity shares of Medi Assist by the promoters and existing shareholders. Since the issue is completely an OFS, the company will not receive any proceeds and all the funds will go to the selling shareholders.
Those selling shares in the offer for sale include Vikram Jit Singh Chhatwal, Medimatter Health Management, Bessemer India Capital Holdings II Ltd, Bessemer Health Capital LLC, and Investcorp Private Equity Fund I.
Axis Capital, Nuvama Wealth Management, IIFL Securities, and SBI Capital Markets have been appointed as merchant bankers to advise the company on the IPO.
The company said that the reason for going public is aimed at achieving the benefit of listing equity shares on the stock exchanges and carrying out OFS for the selling shareholders.
Bengaluru-based Medi Assist is a health-tech and insurtech company focused on administering health benefits across employers, retail members, and public health schemes. It claims to be the largest health benefits administrator in terms of revenues and premium serviced for health insurance policies.
While under the TPA (third party administrator) regulations, its primary clients are insurance companies, it also serves as an intermediary between general and health insurance companies and the insured members (under retail, corporate and insurance backed public health insurance policies), insurance companies and healthcare providers (such as hospitals), and the government and beneficiaries of public health schemes.
