This recently-listed healthcare stock has zoomed 132% against issue price

The stock has rallied 36 per cent in the past three trading days

Shares of the recently-listed healthcare supplies company Nureca rallied 10 per cent and hit a new high of Rs 929 on the BSE on Monday in an otherwise weak market. At 01:48 pm, it was trading 7 per cent higher at Rs 906, against 3.5 per cent decline in the S&P BSE Sensex.

In the past three days, the stock of the home healthcare and wellness products provider has jumped 36 per cent and soared 132 per cent against its issue price of Rs 400 per share. Nureca’s Rs 100-crore IPO had seen more than 40 times oversubscription.

As per the shareholding pattern, out of the 30 per cent public shareholding, institutional investors held 18.72 per cent stake in Nureca. Individual shareholders held 5.87 per cent holding, while bodies corporate and Yash Shares and Stock Private Limited held 5.30 per cent and 4.41 per cent stake, respectively.

Nureca is a B2C company engaged in the business of home healthcare and wellness products which offers quality, durability, functionality, usability and innovative designs. Post COVID-19 the health awareness is surmounting and devices like Pulse Oximeters, Thermometers, Nebulizers, Self-monitoring glucose Devices, Humidifier and Steamers, wheelchairs, walkers, lumbar, breast pumps, bottle sterilizers, bottle warmers, car seats, baby carrycots, Nutrition supplements, Lifestyle products etc. are catching attention.

Currently, 95 per cent of revenues for Nureca come through digital channels (eCommerce). However, this poses an opportunity for Nureca to expand into the offline channel. This would provide significant impetus to their growth, and build their brand value as well.

To expand their business footprint, Nureca, in October 2019, joined hands with Croma, India’s first omni-channel electronics retailer from the Tata Group, to emerge as the very first company to sell healthcare and wellness products through Croma stores. As part of this tie-up, Nureca will sell products from its Dr Trust and Dr Physio brands at 30 Croma stores across the country, and this would grow with the increasing adoption of the products.