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The Rs 846-crore initial public offering (IPO) of Suraksha Diagnostic has received a muted response from the investors as on the second day as the issue is subscribed only 25% so far. On day one, the issue was subscribed 11%.The retail portion has been subscribed 45%, receiving over 30.16 lakh share bids against the quota of 67,16,266 equity shares available for subscription. The allocation for non-institutional investors (NII) was booked at 13% while 1,326 share bids were received from qualified institutional buyers (QIBs) versus 38,37,867 shares available for subscription.The issue, completely an offer for sale (OFS) of Rs 1.91 crore shares, will be available for bidding till December 3. Since the IPO is an OFS, the company will not receive any proceeds from the offer.Suraksha Diagnostics IPO: Opening Date, Allotment and Listing DateSuraksha Diagnostic IPO kicked off for subscription on November 29 and will close on December 3. The IPO allotment will be completed on December 4 and the listing is scheduled for December 6.Suraksha Diagnostics IPO: GMP todayThe GMP of Suraksha Diagnostics is currently Rs 0 in the unlisted markets, which indicates a premium of 0% over the issue price.Suraksha Diagnostics IPO: Price bandSuraksha Diagnostics has fixed a price band of Rs 420-441 per share, where investors can bid for 34 shares in one lot and in multiples thereafter.Suraksha Diagnostics IPO reviewMost analysts advised investors to avoid subscribing to the IPO as the issue is an OFS and is richly valued. Moreover, the diagnostic sector in which the company operates is highly competitive."The company's operations are confined to the eastern part of India, limiting the scope of its market. We believe that the issue is overly priced and recommend Avoid to the IPO," said Anand Rathi."The IPO is a complete offer for sale. Valuation appears aggressively high. Investors exploring this sector may find better opportunities among other listed players, making it advisable to avoid this IPO for now," said Swastika Investmart.About Suraksha DiagnosticsSuraksha Diagnostics is the largest full-service and integrated diagnostic chain headquartered in East India in terms of operating income as of FY23. It offers a one-stop integrated solution for pathology and radiology testing, and medical consultation services to its customers.Its operational network consists of a flagship central reference laboratory, 8 satellite laboratories and 194 customer touchpoints, which include 48 diagnostic centres, and 146 sample collection centres (primarily franchised), across the states of West Bengal, Bihar, Assam, and Meghalaya, as of March 31, 2024.During fiscal 2024, it conducted nearly 5.98 million tests serving approximately 1.14 million patients.According to a Crisil report, the diagnostics services market in India is estimated to be around Rs 86,000-87,000 crore in fiscal 2024 and is projected to grow at a CAGR of around 10% to 12% to reach approximately Rs 1,27,500 - Rs 1,37,500 crore by fiscal 2028.In FY24, Suraksha's revenues improved to Rs 219 crore as compared to Rs 190 crore in the year-ago period. Meanwhile, profit after tax grew multifold to Rs 23 crore.ICICI Securities, Nuvama Wealth Management and SBI Capital Markets are the book-running lead managers to the issue. The equity shares are proposed to be listed on BSE and NSE.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

Dixon Technologies shares surged as much as 6.5% on Monday to Rs 16,836.65 on BSE, with the stock’s market capitalization crossing Rs 1 lakh crore mark for the first time, after the electronics manufacturer said its wholly-owned unit, Padget Electronics, in partnership with Compal Smart Device India, has commenced mass production of Google Pixel smartphones.The company’s unit Padget Electronics is engaged in the business of manufacturing mobile phones and information technology (IT) hardware as its core business activity, and the said production of Google Pixel smartphones is set “to commence at the plant of Padget Electronics situated at Sector-68, Noida,” Dixon Technologies’ exchange filing said.According to brokerage firm Nomura, Dixon Technologies aims to add another global brand to its portfolio in the coming months. “The Google Pixel range, priced between Rs 32,000 and Rs 1.72 lakh in India, has historically seen limited volumes of less than 1 million units annually. The market has been primarily served by Wowtek Technology, a subsidiary of Bharat FIH (part of the Foxconn group),” the brokerage said.Nomura believes with Dixon entering as an additional manufacturing partner, it is set to capture a major share of Pixel's India business, particularly for the affordable A-series models, which constituted about 65% of Pixel's India sales in 2023.“In our view, while volumes are low, realisations will be significantly better at about Rs 25-26K per unit for Dixon, compared to current average realisations of about Rs 9K per unit. Hence, assuming a about 60% SOB, we estimate it can potentially add Rs 15 billion of revenues, about 4% of FY26 smartphone sales depending on ramp-up, which is likely to be gradual. Moreover, we think it will showcase Dixon's capabilities to make premium phones and will be a key longer-term positive,” the brokerage said.Nomura said it overall expects Dixon to be a key beneficiary of strong traction from its mobile customers and addition of new clients and produce 47 million smartphones in FY27. Thus, its smartphone revenues should touch Rs 412 billion by FY27, implying a 28% CAGR over FY25-27, and contributing 66% to its FY27F overall revenue, the brokerage added.The brokerage maintained its “Buy” rating on the company's stock at a target price of Rs 18,654.Also read | Fitch downgrades Azure Power U.S. dollar bond outlook to negative amid Adani bribery probe(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)