Earkart's Rs 49 Crore IPO Launches: Priced at Rs 135 Per Share
Earkart, a HealthTech platform specializing in hearing aids, has opened its Rs 49 crore IPO for subscription. The issue includes a fresh issue of 33.1 lakh shares and an offer for sale of 3.34 lakh shares. Priced at Rs 135 per share, the IPO closes on Monday. Earkart operates through online, offline, and government supply channels, managing 49 Shop-in-Shop clinics across 22 cities. The company reported strong financial growth with FY25 revenue of Rs 43.19 crore and profit after tax of Rs 6.88 crore. IPO proceeds will fund working capital, expand the Shop-in-Shop model, and meet corporate purposes.
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Earkart, a HealthTech platform specializing in hearing aids and related accessories, has opened its Initial Public Offering (IPO) for subscription. The Rs 49 crore issue is set to close on Monday, offering investors an opportunity to participate in the company's growth story.
IPO Details
- Issue Size: Rs 49.00 crore
- Price: Rs 135 per equity share (face value of Rs 10)
- Subscription Period: Opens today, closes on Monday
The IPO comprises two components:
- A fresh issue of 33.1 lakh shares worth Rs 44.75 crore
- An offer for sale of 3.34 lakh shares worth Rs 4.51 crore
Investor Participation
- Retail Investors: Minimum application of 2,000 shares (Rs 2.70 lakh)
- High Net Worth Individuals (HNIs): Minimum bid of 3,000 shares (Rs 4.05 lakh)
Company Overview
Earkart operates as a HealthTech platform focusing on hearing aids and related accessories. The company has diversified its operations across three main channels:
- Online
- Offline
- Government supply
Earkart launched its innovative Shop-in-Shop (SIS) model. Currently, the company manages 49 SIS clinics spread across 22 cities in six states and two Union Territories.
Financial Performance
Earkart has demonstrated strong financial growth:
| Fiscal Year | Revenue (in crore) | Profit After Tax (in crore) |
|---|---|---|
| FY23 | 43.19 | 6.88 |
| FY22 | 31.97 | 3.06 |
The company witnessed a 35% increase in revenue and more than doubled its profit after tax year-over-year.
Utilization of IPO Proceeds
The funds raised through the IPO will be allocated towards:
- Financing incremental working capital requirements
- Expanding the Shop-in-Shop business model
- Meeting general corporate purposes
As the IPO opens for subscription, investors will be closely watching the company's growth trajectory in the specialized HealthTech sector, particularly its focus on hearing aids and the expansion of its innovative Shop-in-Shop model.
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