KRM Ayurveda Ltd IPOKRMAYURVED

The IPO opens on 21 Jan 2026 & closes on 23 Jan 2026.

KRM Ayurveda Limited was incorporated as a Private Limited Company as 'KRM Ayurveda Private Limited' on September 03, 2019. Company was converted into a Public Limited Company and the name of Company was changed to 'KRM Ayurveda Limited' on December 24, 2024. Company is operating a network of hospitals and clinics across multiple cities in India as well as marked its presence in abroad through tele medicines consulting and sales. Presently, Company runs 6 Hospitals and 5 Clinics at different locations in the country. It integrate authentic Ayurvedic wisdom with modern practices to address chronic, lifestyle, and preventive health needs through personalized care and wellness programs. Though KRM Ayurveda started off as a kidney hospital to provide specialized treatment for kidney disorders, it has widened the horizons in past few years and has now evolved for various health disorders such as kidney disorder, Liver Cirrhosis, Diabetes, Fatty Liver, Arthritis etc. It has marked its reach globally as well through Tele-Consultancy Services. The hospitals and clinics offer a comprehensive range of services, including: In-Patient & Out-Patient Care for treatment for chronic diseases, lifestyle disorders, and post-operative rehabilitation. Specialized Clinics for Orthopedic care, skin and hair care, women's wellness, geriatric care. Wellness Packages for stress management, weight management, preventive health plans. Medicinal Sales for dispensary of in-house and certified Ayurvedic medicines. Diet & Lifestyle Counseling for personalized nutrition and yoga consultation. Company is planning the initial public offer of 57,40,000 equity shares of Rs 10 through fresh issue.

KRM Ayurveda Ltd IPO will close on 23 Jan 2026.

<ul><li>Designing and execution capabilities.</li><li>Experienced management team and a motivated and efficient work force.</li><li>Cordial relations with its consumers.</li><li>Quality assurance and control.</li></ul>

<table class="table"> <thead> <tr> <th>S.No</th> <th>Promoters Name</th> <th>Pre Issue Shares</th> <th>Pre Issue Percentage</th> <th>Post Issue Shares</th> <th>Post Issue Percentage</th> </tr> </thead> <tbody> <tr> <td>1</td> <td>Puneet Dhawan</td> <td>14091400</td> <td>90.8</td> <td>14091400</td> <td>66.28</td> </tr> <tr> <td>2</td> <td>Tanya Dhawan</td> <td>95000</td> <td>0.61</td> <td>95000</td> <td>0.45</td> </tr> <tr> <td>3</td> <td>Purnima Mehta</td> <td>112000</td> <td>0.72</td> <td>112000</td> <td>0.53</td> </tr> <tr> <td>4</td> <td>Puneet Dhawan HUF</td> <td>3700</td> <td>0.02</td> <td>3700</td> <td>0.02</td> </tr> <tr> <td>5</td> <td>Karuna Khurana</td> <td>1400</td> <td>0.01</td> <td>1400</td> <td>0.01</td> </tr> </tbody> </table>

<ul><li>The company's Registered Office and other hospital premises from where the company operates are not owned by the company. If the company are required to vacate the same, due to any reason whatsoever, it may adversely affect its business operations.</li><li>The Company has experienced, and may continue to experience, a higher rate of employee attrition in recent periods, including among frontline and technical staff.</li><li>Majority of its state wise revenues from operations for the last 3 years is majorly derived from the company's Top 2 States. Any adverse developments affecting its operations in this state could have an adverse impact on the company's revenue and results of operations.</li><li> The company's business is working capital intensive, and fluctuations or inadequate financing of its working capital requirements may adversely affect the company's business, financial condition, and results of operations.</li><li>The company is dependents on third-party transportation service providers for delivery of its raw materials and finished products. Any disruption in such transportation arrangements or increase in transportation costs may materially and adversely affect the company's business, financial condition, results of operations, and cash flows</li><li>Conflicts of interest may arise out of common business undertaken by the Company and its promoter.</li><li>The provision of healthcare services involves high costs such as employee benefit expenses, rent and facility fees, retainers and consultants fee and purchase of equipment and consumables, which the company may fails to pass on to patients, which could adversely affect its business, results of operations and financial condition.</li><li>A significant portion of its revenue is derived from patients who avail the company's hospital services through insurance providers. Any adverse change in the relationship with such insurers, delay in settlement of claims, or reduction in reimbursement rates may materially and adversely affect its business, financial condition, results of operations, and cash flows.</li><li>The intend to use a portion of the Net Proceeds to prepay / repay in full or in part, of certain borrowings availed by the Company</li><li>Declining Reimbursement Rates from insurance providers may affect its financial position.</li><li>The company has had negative cash flows from operation and investing activities in the past and may continue to have negative cash flows in the future. The company have generated negative cashflow from operation and investing activities in current and previous years. The table given below set forth our cash flows for the last three (3) Financial Years:</li><li>The risks associated with delays in obtaining, or failures to obtain, approvals and permits for the capital expenditure for construction and development of telemedicine operational facilities.</li><li>The manufacture, sale, and use of Ayurvedic medicine products are subject to various risks, including contamination, adulteration, regulatory compliance, and potential adverse events. These risks may impact the Company's reputation, financial performance, and ability to serve clients effectively.</li><li>The company has experienced a dip in our revenue from operations in the past and may experience further growth downfall or unable to manage an efficient growth rate.</li><li>There is outstanding litigation pending against its Promoters which, if determined adversely, could affect the company's business, results of operations and financial condition.</li><li>The Company depend on brand recognition and reputation and its inability to maintain or enhance brand image that the company operates could have a material adverse effect on its business, financial condition and results of operations.</li><li>The Company relies on a limited number of suppliers. The loss of any of these suppliers may disrupt its business operations and adversely affect the company's financial stability.</li><li>Company's operations and decisions are subject to lender's strict covenants and conditions.</li><li> The company's business operations are subject to various risks including operational complexities, dependence on quality raw materials, limited brand awareness in certain regions, increasing competition, evolving regulatory requirements, economic fluctuations, and potential misinformation regarding Ayurveda, any of which may materially and adversely affect its business, financial condition, results of operations, and cash flows.</li><li>The Merchant Banker of the Company lacks prior experience in managing IPOs, which may pose risks related to disclosures, execution efficiency, and regulatory compliance. Any shortcomings in these areas could affect the timing and success of the Issue</li><li> The company's marketing and advertising activities may not be successful in increasing the popularity of the Company among domestic and international clients. If the company's marketing or advertising initiatives are not effective, this may affect the popularity of the Company.</li><li>The company is exposed to consumer complaints and potential litigation due to the nature of its products.</li><li> The company's limited operating history makes it difficult to evaluate its business and prospects and may increase the risks associated with your investment.</li><li>Since the company is catering to end customers, there might be chances that customers may feel unsatisfactory on the receipt or on usage of products. Further, in case of any delay in delivery of the product can result into losing out existing or potential consumers in the market.</li><li>The illegal distribution and sale by third parties of counterfeit versions of its products could have a negative impact on the company's reputation and business.</li><li>Operating a network of clinics and hospitals across diverse regions poses challenges in maintaining consistent service and care standards. Variations in expertise, infrastructure, and regulations may lead to inconsistencies affecting patient trust and reputation.</li><li> The company's Ayurveda product processing relies on the timely and consistent supply of quality herbs and natural raw materials from third-party suppliers. Factors like seasonal changes or supply disruptions could affect product quality and availability, impacting its operations and financial performance.</li><li>The Company is expanding its network into new regions with limited brand recognition which may require higher marketing efforts and could result in slower initial growth.</li><li>The healthcare and Ayurveda sectors are highly competitive, with many established players possessing strong brands, broad networks, and greater resources. This competition may impact its ability to attract and retain patients, pressure pricing, and require continuous investment</li><li> The company's operations are governed by diverse and evolving central and state regulations in India, making uniform compliance across locations challenging. Any failures to meet regulatory requirements could lead to penalties, legal liabilities, or reputational harm, potentially affecting its business and growth prospects.</li><li>Any misconduct, negligence, or errors by its employees or agents could expose us to operational, legal, and reputational risks, which may materially and adversely affect the company's business, financial condition, results of operations, and goodwill.</li><li>The Company may be subject to acquisition or actions relating to infringement or misappropriating intellectual property rights or confidential know-how of third parties.</li><li>The company has in past entered into related party transactions and the company may continue to do so in the future.</li><li>Any manufacturing or quality control problems may damage its reputation for high quality products and expose the company to litigation or other liabilities, which could adversely affect its financial results.</li><li>The company's Board of Directors does have any experience of listed companies.</li><li>Majority of the employees of the company have not been registered in the EPFO Portal and ESI Portal.</li><li>Certain offices, clinics and hospitals of the Company operate from premises taken on lease basis, and any non-renewal, termination or adverse modification of such arrangements may materially and adversely affect its operations, financial condition and results of operations</li><li>The Company may incur penalties or liabilities for non-compliances with certain provisions of the GST Act, Income Tax and other applicable laws in the previous years.</li><li>The company is highly dependent on doctors, nurses and other healthcare professionals and if the company is unable to attract, retain or train such professionals, the company's business, results of operations and financial condition may be adversely affected.</li><li>Inadequate insurance coverage, delay in settlement of insurance claims, or non-renewal of insurance policies may materially and adversely affect its business, financial condition, results of operations, and cash flows</li><li>The company is dependents on its Individual Promoters and the company's management team and the loss of, or the company's inability to hire, retain, train, and motivate qualified personnel could adversely affect its business, results of operations and financial condition.</li><li>The company operates in a significantly fragmented and competitive market and any failures on its part to effectively compete may adversely affect the company's profitability and market share.</li><li>If the company fails to maintain an effective system of internal controls, the company may not be able to successfully manage or accurately report its financial risk.</li><li>The company may not be able to prevent unauthorised use of trademarks obtained/ applied for by third parties, which may lead to the dilution of its goodwill and some of the trademarks filed are objected.</li><li> The company's funding requirements and proposed deployment of the Net Proceeds have not been appraised by a bank or a financial institution and if there are any delays or cost overruns, the company may have to incur additional cost to fund the objects of the Issue because of which its business, financial condition and results of operations may be adversely affected.</li><li> The company's profitability will suffer if the company is not able to maintain the company's pricing, control costs or continue to expand its business through more client engagements.</li><li>Business operation and stability depends on many factors, the company may not be able to effectively implement its business and growth strategy.</li><li>The average cost of acquisition of Equity Shares by its Promoters is lower than the issue price.</li><li>The company is required to maintain certain approvals and licenses required in the ordinary course of business and the failures to obtain or renew them in a timely manner or at all may adversely affect its operations.</li><li>In addition to normal remuneration, other benefits and reimbursement of expenses, some of its directors and Key Management Personnel who are interested in the Company to the extent of their shareholding and dividend entitlement in the Company.</li><li>Any variation in the utilization of Net Proceeds would be subject to certain compliance requirements, including prior shareholders' approval.</li><li>The Company has issued Equity Shares during the last twelve months at a price which may be lower than the Issue Price.</li><li>Significant differences exist between Indian GAAP and other accounting principles, such as Ind AS, IFRS and U.S. GAAP, which may be material to investors' assessments of its financial condition, result of operations and cash flows.</li><li>Certain Agreements, deeds or licenses may be in the previous name of the company.</li><li>The Company has not paid any dividend in past 3 financial years and its ability to pay dividends in the future may be affected by any material adverse effect on the company's future earnings, financial condition or cash flows.</li><li>Industry information included in this Red Herring Prospectus has been derived from an industry report provided by an independent agency. The reliability on the forecasts of the reports could be incorrect and would significantly impact its operations.</li><li>The Company's future funding requirements, in the form of further issue of capital or other securities and/or loans that might be availed by the company, may turn out to be prejudicial to the interest of the shareholders depending upon the terms and conditions on which they are raised.</li><li>There are certain restrictions on daily movements in the price of Equity Shares, which may adversely affect a shareholder's ability to sell, or the price at which it can sell, Equity Shares at a particular point in time.</li><li>After this Issue, the price of the Equity Shares may be highly volatile, or an active trading market for the Equity Shares may not develop.</li><li>Equity Shares of the Company have never been publicly traded, and after the Issue, the Equity Shares may be subject to price and volume fluctuations, and an active trading market for the Equity Shares may or may not develop. Further, the Issue Price may not be indicative of the market price of the Equity Shares after the Issue.</li><li>You may be subject to Indian taxes arising out of capital gains on the sale of its Equity Shares.</li><li>QIBs and Non-Institutional Investors are not permitted to withdraw or lower their Bids (in terms of quantity of Equity Shares or the Bid Amount) at any stage after the submission of their Bid, and Individual Investors who applies for minimum application size are not permitted to withdraw their Bids after closure of the Bid/ Issue Closing Date.</li><li>Sale of Equity Shares by its Promoters or other significant shareholder(s) or any future issue of Equity Shares may dilute your shareholding and adversely affect the trading price of the Equity Shares.</li><li>Investors will not be able to sell immediately on an Indian stock exchange any of the Equity Shares they purchase in the Issue. Prices may be restricted in their ability to exercise pre-emptive rights under Indian law and thereby may suffer future dilution of their ownership position.</li><li>A third-party could be prevented from acquiring control of the company post this Issue, because of anti-takeover provisions under Indian law.</li></ul>

The Issue type of KRM Ayurveda Ltd is Book Building - SME.

The minimum application for shares of KRM Ayurveda Ltd is 2000.

The total shares issue of KRM Ayurveda Ltd is 5740000.

Initial public offering up to 57,40,000 equity shares of Rs. 10/- each ("Equity Shares") of KRM Ayurveda Limited ("KRM" or the "Company") for cash at a price of Rs. 135 per equity share (the "Issue Price"), including a share premium of Rs. 125 per equity share (the "issue price") aggregating to Rs. 77.49 crores ("the Issue"). Out of the issue 4,24,000 equity shares aggregating to Rs. 5.72 crores will be reserved for subscription by market maker ("Market Maker Reservation Portion"). The issue less the market maker reservation portion i.e. net issue of upto 53,16,000 equity shares of face value of Rs. 10/- each at an issue price of Rs.135 per equity share aggregating to Rs. 71.77 crores (the "Net Issue"). The issue and net issue will constitute 27.00% and 25.00% respectively of the post-issue paid-up equity share capital of the company. Price Band: Rs. 135 per equity share of face value Rs. 10/- each. The floor price is 13.5 times of the face value of the equity shares. Bids can be made for a minimum of 2000 equity shares and in multiples of 1000 equity shares thereafter.