Indira IVF's INR 3,500 cr IPO Strategy Might Thrown Off Balance by a Movie

According to media reports, Indira IVF Hospital Ltd., which is funded by EQT, has temporarily cancelled its preparations for its IPO. The decision was taken due to a Bollywood movie about the life of its founder, Ajay Murdia. According to reports, the business, which had initially sought an IPO of INR 3,500 crore, reportedly encountered issues with the nation's market regulator. SEBI was unhappy because of the release date of the film Tumko Meri Kasam. A little more than a month after the company revealed that it had secretly filed for an IPO. The film, which is a fictionalised account of Murdia's life and his chain of clinics, was released on March 21. The main actors in the Vikram Bhatt-directed movie are Ishwak Singh, Esha Deol, Adah Sharma, and Anupam Kher. Nitiz and Kshitiz, the sons of Ajay Murdia, are acknowledged as producers, and Indira Entertainment is the production company.

IVF Indirectly Promoting Itself: SEBI

After noticing this, the Securities and Exchange Board of India (SEBI) expressed concerns about Indira IVF's indirect self-promotion. According to various reports, the company reportedly withdrew the offer due to the regulator's assessment of the biopic and the proximity of its release to the IPO filing. In response to a question from the media, the company said that after weighing a number of variables and business concerns, it had chosen to withdraw the previously submitted DRHP. Additionally, it stated that SEBI did not order them to revoke the offer. When the business might try to make the offer again is unknown. In 2023, Boston-based TA Associates and the company's founders sold a majority share in Indira IVF to Stockholm-based investment firm EQT. Through the transaction, TA Associates left the company, but the Murdias kept a minority ownership and continued to run it.

Indira IVF's Confidential Route of Filing

Indira IVF was one of the numerous businesses that recently chose to file confidentially. Credila Financial Services Ltd., Swiggy Ltd., Vishal Mega Mart Ltd., and edtech unicorn Physicswallah Ltd. are among the other businesses that chose the same path. Companies who choose to use the optional confidential initial public offering (IPO) process register their IPO in a confidential manner. In December 2022, SEBI made this available, and Tata Play Ltd. was the first business to utilise it. A business files their DRHP using this method, but the paperwork is not immediately made public. It is only made public when the business chooses to launch its initial public offering. A business might shield what it considers to be sensitive information from its rivals by utilising a confidential filing.