Star Imaging and Path Lab Ltd IPO

The IPO opens on 08 Aug 2025 & closes on 12 Aug 2025.

Star Imaging and Path Lab Limited was originally incorporated as a private limited Company as 'Star Imaging & Path Lab Private Limited' dated May 31, 2004, issued by the Registrar of Companies, National Capital Territory of Delhi and Haryana. Subsequently, it converted into a Public Company and the name of the Company was changed to 'Star Imaging and Path Lab Limited' on September 17, 2024 issued by Central Processing Centre. The Company started its journey from 1978 as proprietorship under the name of Janta X-Ray Clinic and were providing X-ray and basic pathology tests using manual methods. Over the years, they have upgraded their services, equipment, and diagnostic technologies to incorporate latest advancements in medical science, ensuring the care and improved patient outcomes. This vision led to establishment of Star Imaging & Path Lab Private Limited in 2004, as Private Limited entity, to offer pathology, radiology, Cardiology, and Neurology services under one roof. As part of expansion, Company acquired the businesses of Janta X-Ray Clinic, M/s Star Imaging & Path Lab, and M/s Star Health Care, in 2011. It formed a Subsidiary in the name of 'Staredu Education and Training Institute Private Limited' to expand business activities in 2017. At present, Company operates a diagnostic testing network, NABL accredited, delivering pathology, radiology, Cardiology, and Neurology services in Delhi (B2C, B2B & B2G model), Uttar Pradesh (B2G model), and Nasik (B2G Model) regions of India. It offer a comprehensive range of diagnostic imaging services and clinical laboratory tests, including both routine and specialized studies and profiles. These services are essential for the prediction, early detection, diagnostic screening, confirmation, and monitoring of diseases. Diagnostic imaging and radiology services encompass X-rays, computed tomography (CT) scans, magnetic resonance imaging (MRI) scans, ultrasounds, bone mineral densitometry, and mammography. In the pathology segment, services include biochemistry, hematology, clinical pathology, histopathology, cytopathology, microbiology, serology, and immunology. Apart from these, the Company also operate a tele-radiology hub, with a full suite of diagnostic imaging equipment and supported by a skilled team of radiologists. This centralized facility provides significant operational efficiencies and scalability, ensuring quality diagnostic services have been delivered consistently across the network. The Company raised Rs 69.47 Cr through IPO, by issuing 48,92,000 equity shares of Rs 10/- each, comprising a fresh issue of 39,20,000 equity shares aggregating to Rs 55.66 Cr and offer for sale of 9,72,000 equity shares aggregating to Rs 13.80 Cr in August, 2025.

Star Imaging and Path Lab Ltd IPO will close on 12 Aug 2025.

<ul><li>Integrated diagnostics provider with one-stop solution offering pathology and radiology services.</li><li>Established presence and proven track record.</li><li>Dedicated management team with significant industry experience.</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>Pawan Gupta</td> <td>9977365</td> <td>73.91</td> <td>9005365</td> <td>51.7</td> </tr> <tr> <td>2</td> <td>Chhaya Gupta</td> <td>1350000</td> <td>10</td> <td>135000</td> <td>7.75</td> </tr> <tr> <td>3</td> <td>Ram Avtar Gupta</td> <td>1227365</td> <td>9.09</td> <td>1227365</td> <td>7.05</td> </tr> <tr> <td>4</td> <td>Gia Gupta</td> <td>945000</td> <td>7</td> <td>945000</td> <td>5.42</td> </tr> </tbody> </table>

<ul><li>The Company, Promoter and Directors are parties to certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on its business, results of operations and financial condition.</li><li>There have been instances in the past where the company has not made regulatory filing of Consolidated Financials of the Company with RoC.</li><li>The Company has reported certain negative cash flows from its operating activity, investing activity and financing activity, details of which are given below.</li><li>The Company has not fulfilled its CSR obligation u/s 135 of the Companies Act, 2013 for the F.Y. 2021-22 to F.Y. 2023-24. Such noncompliance/ default may attract penalties on the Company and its Directors.</li><li>Form-2 for Return of Allotment filed with the Registrar of Companies for the period April 28, 2011 is not traceable.</li><li>There were certain instances of discrepancies in relation to certain statutory filings and corporate records of the Company.</li><li>The company does not own registered office which is used by it currently.</li><li>Its inability to protect or use the company intellectual property rights or comply with intellectual property rights of others may adversely affect the company business and results of operations.</li><li>The company has in the past entered into related party transactions and may continue to do so in the future, which may potentially involve conflicts of interest with the equity shareholders.</li><li>Its future funds requirements, in the form of issue of capital or securities and/or loans taken by it, may be prejudicial to the interest of the shareholders depending upon the terms on which they are eventually raised.</li><li>The company significantly depends on third party vendors and suppliers to provide it the company testing equipment, test kits, and reagents, and any failures in procuring such equipment or recall of existing testing equipment, test kits, and reagents could adversely affect its business, results of operations and financial condition.</li><li>Crystallization of any of these contingent liabilities may adversely affect its financial condition.</li><li>Its primarily serve individual patients and our ability to attract such patients is largely dependent on the company brand recognition, reputation and brand image, the disposable income of such patients and increasing general health awareness of India's general population, which could decline due to a variety of factors.</li><li>Any non-renewal or cancellation of its arrangements with the company institutional customers, including hospitals, and Public-Private Partnership ("PPP") contracts may adversely affect its business, results of operations and financial condition.</li><li>100 % of its Revenue from Operations in Fiscal 2025 was generated from Delhi and Uttar Pradesh, and any loss of business in such region could have an adverse effect on the company business, results of operations and financial condition.</li><li>Its main source of revenue comes from the company pathology and radiology services, and its business could be negatively impacted if these categories does not perform as anticipated.</li><li>Its may become subject to various operational, reputational, medical and legal claims, regulatory actions or other liabilities arising from the provision of healthcare services and may be subject to liabilities arising from claims of malpractice and medical negligence which could adversely affect its business, results of operations and financial condition.</li><li>In case of its inability to obtain, renew or maintain the statutory and regulatory licenses, permits and approvals required to operate the company business it may have a material adverse effect on its business.</li><li>The Company, in the past has delayed in payment of statutory dues. Any Penalty or demand raised by statutory authorities in future will affect its financial position of the Company.</li><li>As of March 31, 2025, the company has total indebtedness of ? 3273.42. If the company is unable to service its debt obligations in a timely manner or to comply with various financial and other covenants and other terms and conditions of its financing agreements, it may adversely affect the company business, credit rating, reputation, prospects, results of operations, cash flows and financial condition.</li><li>Any variation in the utilization of the Net Proceeds as disclosed in this Red Herring Prospectus shall be subject to certain compliance requirements, including prior shareholders' approval.</li><li>Failures or malfunction of its equipment could adversely affect the company ability to conduct its operations.</li><li>Failures to introduce new tests, services and technologies or acquire new or improved equipment could adversely affect its business, results of operations and financial condition.</li><li>Implementation of pricing policies by the Government or other authorities could adversely affect its business, results of operations and financial condition.</li><li>The diagnostics industry in India is highly competitive and its inability to compete effectively from other healthcare service providers may adversely affect the company business, results of operations and financial condition.</li><li>If the services we provide as a part of its contracts with the company customers are found to be deficient, its may lose the company customers and may be subject to product liability claims or claims alleging deficiency in service, which may also cause damage to its reputation and/or adversely affect the company business, results of operations.</li><li>Any interruptions at its `hub' diagnostic center may affect the company ability to process diagnostic tests, which in turn may adversely affect its business, results of operations and financial condition.</li><li>Its Directors and Promoter Group have interests in entities, which are in businesses similar to its and this may result in potential conflict of interest with the company.</li><li>Its Promoter play key role in the company functioning and its heavily relies on their knowledge and experience in operating its business and therefore, it is critical for the company business that its promoter remain associated with it.</li><li>Any adverse changes in regulations governing its business operations or products or the products of the company end-customers, may adversely impact its business, prospects, results of operations and cash flows.</li><li>Its Promoter and the Promoter Group will jointly continue to retain majority shareholding in the Company after the issue, which will allow them to determine the outcome of the matters requiring the approval of shareholders.</li><li>Its ability to pay dividends in the future will depends upon the company future earnings, financial condition, cash flows, working capital requirements, capital expenditure and restrictive covenants in its financing arrangements.</li><li>Its success depends largely upon the services of the company Directors, Promoter and other Key Managerial Personnel and its ability to attract and retain them. Demand for Key Managerial Personnel in the industry is intense and its inability to attract and retain Key Managerial Personnel may affect the operations of the Company.</li><li>The disclosures made in the chapter titled `Industry Overview' are made on the basis of publicly available data and such data has not been independently verified by it.</li><li>Its Promoter, Directors and Key Management Personnel may have interests in us other than reimbursement of expenses incurred and normal remuneration or benefits.</li><li>The company has not identified any alternate source of raising the funds mentioned as its `Objects of the Issue'. Any shortfall or delay in raising / meeting the same could adversely affect its growth plans, operations and financial performance.</li><li>Its future fund requirements, in the form of further issue of capital or securities and/or loans taken by it, may be prejudicial to the interest of the Shareholders depending upon the terms on which they are eventually raised.</li><li>The company may be unable to detect, deter and prevent all instances of fraud or other misconduct committed by its employees which may have a material adverse effect on the company business, reputation, results of operations, financial condition and cash flows.</li><li>The Company will not receive any proceeds from the Offer for Sale. The Selling Shareholder will receive the net proceeds from the Offer for Sale.</li><li>Its insurance policies do not cover all risks, specifically risks like loss of profits, loss to environment, wars, invasion etc. In the event of the occurrence of such events, the company insurance coverage may not adequately protect it against possible risk of loss.</li><li>Any inadequacy or delay in collection and transportation of samples to its laboratories could compromise the integrity of such samples, which in turn could adversely affect its business, results of operations and financial condition.</li></ul>

The Issue type of Star Imaging and Path Lab Ltd is Book Building - SME.

The minimum application for shares of Star Imaging and Path Lab Ltd is 2000.

The total shares issue of Star Imaging and Path Lab Ltd is 4892000.

Initial public offer of 48,92,000 equity shares of face value of Rs. 10/- each of Star Imaging and Path Lab Limited ("Star" or the "Company" or the "Issuer") for cash at a price of Rs.142/- per equity share including a share premium of Rs.132/- per equity share (the "Issue Price") aggregating to Rs. 69.47 crores ("the Offer"), comprising a fresh offer of 39,20,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 142/- per equity share including a share premium of Rs. 132/- per equity share aggregating up to Rs. 55.66 crores by the company ("Fresh Offer") and an offer for sale of 9,72000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 142/- per equity share including a share premium of Rs. 132/- per equity share ("Offered Shares") aggregating up to Rs. 13.80 crores by Pawan Gupta (Selling Shareholder). Out of the offer, 4,80,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 142/- per equity share including a share premium of Rs. 132/- per equity share aggregating to Rs. 6.82 crores will be reserved for subscription by market maker to (the "Market Maker Reservation Portion"). This issue includes a reservation of 52,000 equity shares aggregating to Rs. 7.38 crores (Constituting 0.299% of the post issue paid-up equity share capital of the company) for subscription by eligible employees (the "Employee Reservation Portion"). The offer less the market maker reservation portion and eligible employees i.e. Net offer of 43,60,000 equity shares of face value of Rs. 10/- each at a price of Rs. 142/- per equity share including a share premium of Rs. 132/- per equity share aggregating to Rs.61.91 crores is herein after referred to as the "Net Offer". The offer and the net offer will constitute 28.083% and 25.029% respectively, of the post issue paid up equity share capital of the company.