Sahajanand Medical Technologies Limited IPO

01At a glance

Sahajanand Medical IPO date, price band and lot size

• Price band: ₹327 to ₹344 a share, from NSE's issue page; the prospectus leaves the price blank (RHP p.3).
• Lot size: 43 shares, from NSE's issue page; one lot costs ₹14,792 at the upper band (our arithmetic).
• Dates: anchor bidding on October 14, 2026; the issue opens on October 15, 2026 and closes on October 19, 2026 (RHP p.4).
• Size: an offer for sale of up to 13,822,116 shares and no fresh issue (RHP p.1); ₹475.5 crore at the upper band and ₹452.0 crore at the lower band (our arithmetic, RHP p.72).
• Who gets the shares: not more than 50% of the net offer for qualified institutional buyers, not less than 15% for non-institutional bidders and not less than 35% for retail individual bidders, with up to 250,000 shares reserved for employees (RHP p.3).
• Lead managers and registrar: Motilal Oswal Investment Advisors Limited, Avendus Capital Private Limited, HSBC Securities and Capital Markets (India) Private Limited and Nuvama Wealth Management Limited; MUFG Intime India Private Limited is the registrar (RHP p.4).

What the company does: designs and makes high-risk implanted heart devices: drug-eluting stents and balloons that open blocked heart arteries, and transcatheter aortic valves (TAVI) and occluders that repair the heart's structure (RHP p.255).

Who pays it: hospitals, directly and through 118 distributors in India and 265 outside India (RHP p.35); the prospectus names Narayana Hrudayalaya Limited among the large hospitals it supplies (RHP p.256). International customers were 73.87% of FY26 revenue (RHP p.263).

Why it is raising money: it is not. The company receives no proceeds; the whole offer is a sale of existing shares by Shree Hari Trust, Dhirajkumar Savjibhai Vasoya, Samara Capital Markets Holding Limited, Kotak Pre-IPO Opportunities Fund and NHPEA Sparkle Holding B.V. (RHP p.136, RHP p.3).

How fast it has grown: revenue from operations went from ₹901.6 crore in FY24 to ₹1,210.5 crore in FY26 (RHP p.76), about 15.9% a year (our arithmetic, RHP p.76). Profit after tax went from a loss of ₹7.4 crore to a profit of ₹69.1 crore (RHP p.76), so a yearly growth rate cannot be computed.

The one thing to understand: one stent, Supraflex Cruz, was 37.17% of FY26 revenue, down from 47.84% in FY24 (RHP p.33), and the profit margin is thin next to the two listed peers the prospectus names: 5.71% against 16.10% and 10.41% in FY26 (RHP p.145). At the upper band the price is 53.6 times FY26 profit attributable to shareholders (our arithmetic, RHP p.348).

02The business, in plain words

What Sahajanand Medical does

The company was founded by Dhirajlal Kotadia in 2001 (RHP p.255), after starting as a partnership firm in 1999; it became a public company with a fresh certificate dated May 7, 2021 (RHP p.3).

What it sells, share of FY26 revenue (RHP p.255, RHP p.256):

• Vascular intervention (VI) devices: coronary stents and balloons, 61.14%.
• Structural heart (SH) devices: TAVI valves and occluders, 16.77%.
• Others: its own renal stents and peripheral drug-coated balloons, and traded goods, 22.09%.

A patient's heart artery is blocked → a cardiologist implants a Supraflex Cruz stent in a cath lab → the hospital orders it directly or through a distributor → the company is paid by the hospital or distributor, at a price capped in India by the National Pharmaceutical Pricing Authority (RHP p.34).

It makes its devices in three plants, at Surat and Hyderabad in India and Nonthaburi in Thailand (RHP p.263), and runs research centres in Surat and Thailand with 156 professionals (RHP p.256). It holds 119 patents granted globally (RHP p.256). Its flagship brands are Supraflex Cruz (stent), Hydra (TAVI) and Cocoon (occluder) (RHP p.257). It sells through six direct markets, 20 hybrid markets and 39 distributor-led markets (RHP p.257).

The prospectus cites the commissioned industry report for a market share of nearly 25.00% of drug-eluting stent volume in India in FY26 (RHP p.256).

Earnings equation: Revenue ≈ devices sold × price per device, where the Surat plant made 627,727 stents in FY26 (RHP p.29). Employee cost was 29.06% of FY26 revenue (RHP p.48) and research spending 8.61% (RHP p.260). The prospectus does not give an average price per stent or valve.

03Where the money comes from

Source: RHP p.255, RHP p.33.

By geography (RHP p.256):

In FY26 Europe brought ₹468.0 crore, the rest of the world ₹426.2 crore and India ₹316.3 crore (RHP p.256). The top ten countries were 78.76% of FY26 revenue (RHP p.257).

Sahajanand Medical customers: how concentrated the revenue is

The prospectus measures concentration by distributor, not by end customer:

Source: RHP p.36. Read from the filing: revenue does not depend on a few distributors; it depends on one product line, with Supraflex Cruz at ₹450.0 crore of FY26 revenue (RHP p.33). The company has no long-term agreements with its distributors (RHP p.36), and approvals to market Supraflex Cruz in Argentina, Bangladesh, Brazil, Mexico and Indonesia are held in distributors' names (RHP p.36).

04The growth record

Sahajanand Medical financials: revenue, profit and margins

Source: RHP p.75, RHP p.76, RHP p.77, RHP p.141. The three-month figures are not annualised. FY24 profit is a loss.

Source: RHP p.141.

Our arithmetic over FY24 to FY26 (RHP p.76, RHP p.141):

• Revenue grew about 15.9% a year (our arithmetic, RHP p.76).
• EBITDA grew about 24.5% a year (our arithmetic, RHP p.141).
• Profit after tax went from a loss to a profit, so no yearly rate applies; it rose 174.66% from FY25 to FY26 (RHP p.434).
• EBITDA margin rose 189 basis points, 12.2% → 14.1% rounded (RHP p.141); PAT margin rose 653 basis points.

What sits around the record:

• Size: revenue went ₹901.6 cr → ₹1,210.5 cr from FY24 to FY26 (RHP p.76), and profit after tax −₹7.4 cr → ₹69.1 cr (RHP p.76).
• Profit for shareholders: profit attributable to owners of the company was ₹65.3 crore in FY26, the rest going to minority holders in subsidiaries (RHP p.348).
• Tax items: FY26 profit included a tax credit for earlier years of ₹8.7 crore (RHP p.434); the FY24 loss followed a charge for earlier years' tax of ₹28.9 crore (RHP p.76). FY25 carried an exceptional charge of ₹15.0 crore for diligence fees and a severance payment (RHP p.436).
• Cash: operating cash flow was ₹105.2 crore in FY26 (RHP p.77). Over FY24 to FY26 it was about 2.5 times profit after tax (our arithmetic, RHP p.77, RHP p.76).
• Other income was ₹8.2 crore in FY26, about 10.2% of profit before tax (our arithmetic, RHP p.76).
• Concentration: Supraflex Cruz was 37.2% of FY26 revenue (RHP p.33); the top ten distributors 15.7% (RHP p.36) and the largest 3.0% (RHP p.36). International customers were 73.9% of FY26 revenue (RHP p.263).
• Debt: net debt was 1.1× FY26 EBITDA on the company's measure (RHP p.141), and borrowings were ₹320.6 crore at June 30, 2026 (RHP p.422). Return on capital employed was 11.6% in FY26 (RHP p.141).
• Working capital: net working capital was 138 days of revenue in FY26 (RHP p.141), and trade receivable days went 88 → 83 from FY24 to FY26 (RHP p.41).
• Contingent liabilities: ₹10.8 crore of income tax, GST and customs matters at June 30, 2026 (RHP p.78).
• Cases against promoters: four tax matters and no criminal case (RHP p.43); section 23 has the detail.
• The issue: no fresh issue (RHP p.1); an offer for sale of up to 13,822,116 shares (RHP p.1), ₹475.5 crore at the upper band (our arithmetic, RHP p.72).
• Valuation at the upper band: a market capitalisation of ₹3,496.6 crore (our arithmetic, RHP p.72) and a P/E of 53.6× on FY26 profit attributable to owners on the share count after the offer (our arithmetic, RHP p.348, RHP p.72). The median P/E of the two peers the prospectus names is 43.9× (our arithmetic, RHP p.141), so the issue is +22% against the peer median (our arithmetic, RHP p.141). Section 16 has the detail.
• Industry: cardiovascular medical devices, Medical devices in the fixed list (RHP p.255).

05What the growth is made of

Revenue rose by ₹308.9 crore from FY24 to FY26 (our arithmetic, RHP p.76). The prospectus explains it this way:

• FY25: up 13.67%, "primarily due to an increase in the sale of our devices driven by higher sales in Europe and the rest of the world (RoW), primarily led by our structural heart vertical" (RHP p.434).
• FY26: up 18.11%, due to "higher sales volumes across product verticals and geographies" (RHP p.433).

By line and place, FY24 to FY26 (our arithmetic):

• SH devices grew about 35.5% a year, ₹110.5 crore to ₹203.1 crore (RHP p.265).
• VI devices grew about 9.4% a year, ₹618.3 crore to ₹740.1 crore (RHP p.268).
• Europe grew about 32.6% a year and India about 0.4% (RHP p.256). India fell 1.36% in FY26 (RHP p.433).
• International sales grew at 23.34% a year, as the company computes it (RHP p.263).

Countries with commercial TAVI sales went from 21 in FY24 to 35 in FY26, and occluders from 33 to 50 (RHP p.265). Stent output at Surat went 663,785 → 627,727 units from FY24 to FY26 while Hyderabad added 77,106 stents in FY26 (RHP p.29).

The offer document does not disclose average selling prices, so the increase cannot be separated into volume and price.

06Earnings quality

The item that needs explaining is how profit before tax doubled in FY26 while revenue rose 18.11%: profit before tax rose 96.74% to ₹80.3 crore (RHP p.434), with expenses rising 16.15% against revenue (RHP p.433). Depreciation and amortisation was ₹74.2 crore in FY26 (RHP p.76), which is why cash from operations runs well above profit. In the three months to June 2026 operating cash flow was −₹22.2 crore as inventories and receivables rose (RHP p.436).

07The balance sheet

At March 31, 2026 (RHP p.75):

• Property, plant and equipment ₹239.0 crore; goodwill ₹49.5 crore and other intangible assets ₹18.4 crore.
• Inventories ₹309.1 crore; trade receivables ₹286.3 crore.
• Cash and cash equivalents ₹74.1 crore; current investments ₹36.1 crore.
• Borrowings ₹269.5 crore: non-current ₹49.5 crore and current ₹220.0 crore.
• Lease liabilities ₹36.5 crore.

Total borrowings were ₹320.6 crore at June 30, 2026, of which ₹185.2 crore secured and ₹33.0 crore unsecured at the company level (RHP p.422). The unsecured ₹33.0 crore Axis Bank working capital loan can be recalled at any time (RHP p.48). The company and some subsidiaries had lent ₹102.8 crore to, and guaranteed ₹229.7 crore for, other subsidiaries at June 30, 2026 (RHP p.48). Contingent liabilities were ₹10.8 crore (RHP p.78).

Source: RHP p.75, RHP p.136.

08What the money is for

Sahajanand Medical IPO objects: what the money is for

Source: RHP p.136, RHP p.72; amount our arithmetic.

The stated objects are to carry out the offer for sale of 13,822,116 shares, 13.60% of the pre-offer share capital, and to achieve the benefits of listing (RHP p.136). Offer expenses are shared among the sellers in proportion to the shares each sells; the company advances them first (RHP p.136). The total offer expense is left blank (RHP p.136).

Into the business nothing: there is no fresh issue (RHP p.1). To selling shareholders ₹475.5 crore at the upper band, before their share of expenses (our arithmetic, RHP p.72).

09Who is selling

Sahajanand Medical IPO offer for sale: who is selling

Source: RHP p.1, RHP p.122; percentages our arithmetic.

Average cost per share, as certified: Shree Hari Trust ₹13.45, Dhirajkumar Savjibhai Vasoya ₹0.63, Samara Capital Markets Holding Limited ₹46.40, Kotak Pre-IPO Opportunities Fund ₹262.46 and NHPEA Sparkle Holding B.V. ₹97.58 (RHP p.1). None of the promoters or selling shareholders acquired shares in the year before the prospectus (RHP p.122).

At the upper band Samara sells ₹222.9 crore, Shree Hari Trust ₹92.9 crore, Dhirajkumar Savjibhai Vasoya ₹68.8 crore, NHPEA ₹45.9 crore and Kotak ₹45.0 crore (our arithmetic, RHP p.1).

10Promoters

The promoters are Bhargav Dhirajlal Kotadia, Dhirajlal Vallabhbhai Kotadia, Priyanka Dhirajlal Cohen and Shree Hari Trust; together they hold 37,314,589 shares, 36.71% of the company (RHP p.335). They were identified as promoters by a board resolution of May 29, 2025 (RHP p.336).

• Bhargav Dhirajlal Kotadia, 36, Managing Director and Chief Executive Officer, a citizen of the United States (RHP p.335). Holds 5,000 shares directly (RHP p.122).
• Dhirajlal Vallabhbhai Kotadia, 68, Chairman Emeritus and non-executive director, founder of the company, a citizen of the United States (RHP p.335, RHP p.255).
• Priyanka Dhirajlal Cohen, 37, non-executive director, resident in Virginia, United States (RHP p.335). The prospectus says this promoter may have limited work experience in the company's business (RHP p.336).
• Shree Hari Trust, a private irrevocable discretionary family trust formed by the late Vallabhbhai Kotadia, whom the prospectus describes as father of Dhirajlal Vallabhbhai Kotadia and grandfather of Bhargav Dhirajlal Kotadia and Priyanka Dhirajlal Cohen (RHP p.335, RHP p.336). Its trustees are Harivadan Pandya, Kishor Dudhat and Rajeshkumar Shah; Bhargav Dhirajlal Kotadia and Priyanka Dhirajlal Cohen sit on its protector committee (RHP p.336).

The board chair is Jose Calle Gordo, a non-executive director; Abhishek Rajendrakumar Kabra represents Samara Capital Markets Holding Limited on the board (RHP p.87).

What the company pays them (RHP p.83, RHP p.80):

• Bhargav Dhirajlal Kotadia: remuneration of ₹1.8 crore in FY24, ₹1.8 crore in FY25 and ₹3.8 crore in FY26.
• Dhirajlal Vallabhbhai Kotadia: rent for the registered office of ₹1.7 crore in FY24, ₹2.2 crore in FY25 and ₹2.4 crore in FY26; the office is leased from Dhirajlal Vallabhbhai Kotadia and Dhirajkumar Savjibhai Vasoya (RHP p.59).

Promoter economics: Shree Hari Trust received most of its 37,309,589 shares as gifts from Vallabhbhai Kotadia between 2018 and 2022, and bought 2,116,008 shares from two SBI Mutual Fund schemes at ₹237.18 each in March 2022 (RHP p.117). Its average cost is ₹13.45 a share (RHP p.122). None of the promoters' shares is pledged (RHP p.124). The promoters face four tax matters and no criminal or regulatory case (RHP p.43, RHP p.458).

11Who already owns it

Sahajanand Medical promoter holding before and after the IPO

Source: RHP p.125. Suresh Kumar Agarwal & Sarita Agarwal (on behalf of RBA Finance & Investment Co.) and Ashish Kacholia hold 1.08% each (RHP p.125). The company has 22 shareholders (RHP p.125) and 101,646,778 shares (RHP p.72).

Promoters and promoter group hold 41,492,500 shares, 40.82% (RHP p.124). There is no fresh issue, so the share count does not change (RHP p.72). After the trust and Dhirajkumar Savjibhai Vasoya offer 4,700,000 shares, promoter and promoter group holding goes 40.8% → 36.2% (our arithmetic, RHP p.124, RHP p.1).

When the investors came in (RHP p.103, RHP p.104): Samara Capital Markets Holding Limited was allotted 9,406,419 shares at ₹42.52 in December 2016 and 13,717,421 at ₹51.03 in December 2017; NHPEA Sparkle Holding B.V. was allotted 16,396,803 shares at ₹97.58 in January 2018; Kotak Pre-IPO Opportunities Fund was allotted 4,828,725 shares at ₹269.22 in February 2023. In March 2025 Samara and NHPEA sold shares to Ashish Kacholia, Alchemy Capital Management Private Limited, Hansa Shah and RBA Finance at ₹365 a share (RHP p.114).

12What changed just before the IPO

• The offer was cut from 27,644,231 shares in the draft to 13,822,116 shares (DRHP p.1, RHP p.1); section 29 has the detail.
• Profit after tax went from a loss of ₹7.4 crore in FY24 to ₹69.1 crore in FY26 (RHP p.76); revenue went ₹901.6 cr → ₹1,210.5 cr (RHP p.76).
• Europe went from 29.52% to 38.66% of revenue and India from 34.80% to 26.13% (RHP p.256).
• Vascular Concepts Limited was merged into the company by an NCLT order of December 12, 2024 (RHP p.8).
• Ganesh Sabat, the former chief executive, ceased to be a key managerial person on March 31, 2025; remuneration to Ganesh Sabat was ₹19.3 crore in FY25 including ESOP and severance items (RHP p.83, RHP p.435). Bhargav Dhirajlal Kotadia is now Managing Director and Chief Executive Officer (RHP p.7).
• Promoter remuneration, Bhargav Dhirajlal Kotadia, went ₹1.8 cr → ₹3.8 cr from FY24 to FY26 (RHP p.83).
• Trade receivable days went 88 → 83 from FY24 to FY26 (RHP p.41).
• In March 2025 Samara and NHPEA sold shares to new holders at ₹365 a share (RHP p.114).
• The last allotment before the IPO was 243,546 shares to the SMT ESOP Trust at ₹365 a share in September 2026 (RHP p.104).
• No bonus issue or share split in the period; the last were a 2:5 bonus in May 2006 and a split from ₹10 to ₹1 in November 2005 (RHP p.97).
• There has been no change in the auditors in the three years before the prospectus; Deloitte Haskins & Sells LLP is the auditor (RHP p.89).
• The company became a public company in May 2021 (RHP p.3).
• Through SMT Ireland the company invested in SNP Medical Corporation, a Delaware company, under an agreement of September 18, 2025 (RHP p.267).

13Capacity and expansion

Source: RHP p.142, certified by a chartered engineer (RHP p.264).

By plant (RHP p.29): Surat ran stents at 80.48% and catheters at 96.48% in FY26. Hyderabad has TAVI capacity of 6,000 units and occluder capacity of 12,000 units with no output in FY26. Nonthaburi in Thailand made 1,784 TAVI devices, 59.47% of capacity, and 14,564 occluders, 48.55%.

About 33% of the available area at Hyderabad is in use (RHP p.264). Capital spending was ₹98.0 crore in FY26 (RHP p.77). The offer funds no capacity. The company has government grant approvals of ₹8.7 crore, ₹1.9 crore and ₹1.0 crore under the MISRID scheme for local manufacture of components (RHP p.267).

14Market size and industry structure

Sahajanand Medical industry: market size and growth

The industry chapter is drawn from "Independent Market Research on Cardiovascular Devices Market" dated September 30, 2026, by Frost and Sullivan (India) Private Limited, commissioned and paid for by the company for the offer (RHP p.174).

As claimed: the commissioned report puts the global cardiovascular devices market, vascular intervention and structural heart together, at about USD 26.3 billion in 2025, after growing 6.6% a year from 2019, and projects USD 37.8 billion by 2030 (RHP p.215).

The part that is addressable: the company sells drug-eluting stents, balloons, TAVI valves and occluders in India, Europe and other countries. In the commissioned report, the Indian drug-eluting stent market was USD 205.1 million in 2025 (RHP p.229), the Indian structural heart device market USD 53.3 million (RHP p.238), and the global drug-eluting stent market USD 4.30 billion (RHP p.227).

What the company is today: FY26 revenue of ₹1,210.5 crore (RHP p.76), of which VI devices were ₹740.1 crore and SH devices ₹203.1 crore (RHP p.268). The report credits the company with about 25.0% of Indian drug-eluting stent volume in FY26 (RHP p.245).

Size over time: the commissioned report puts the global vascular interventional devices segment at USD 14.2 billion in 2025 and projects USD 20.8 billion by 2030, 7.9% a year (RHP p.218). It values the Indian vascular interventional market at USD 382.6 million in 2025 and projects USD 542.4 million by 2030, 7.2% a year (RHP p.221).

The Indian drug-eluting stent market grew 4.4% a year from 2019 to 2025, and the report projects 8.4% a year to USD 307.2 million by 2030 (RHP p.229). The global structural heart market is USD 12.1 billion in 2025, and the report projects USD 17.1 billion by 2030 (RHP p.233). The report projects the Indian structural heart market to reach USD 152.0 million by 2030, about 23.3% a year (RHP p.238).

Segments: the report divides the market into vascular intervention (coronary, peripheral and neurovascular) and structural heart devices (RHP p.214). By region, the drug-eluting stent market in 2025 was USD 205.1 million in India, USD 474.0 million in the EU and USD 3,623.9 million in the rest of the world, and the report projects EU growth of only 0.8% a year to 2030 (RHP p.226). TAVI was USD 33.0 million in India and USD 2,085.7 million in the EU in 2025 (RHP p.235). The global occluder market was about USD 2.26 billion in 2025 (RHP p.234). The company sells into all of these.

What drives demand: the chapter names the burden of heart disease, which it says causes nearly 18 million deaths a year (RHP p.215), ageing populations, rising use of minimally invasive procedures and better insurance cover (RHP p.215, RHP p.229). India performs few procedures for its size: 891 angioplasty (PCI) procedures per million people in 2025 against 4,429 in Germany (RHP p.218), with 1.8 cath labs per million people against 10.1 in Germany (RHP p.204). The report projects Indian drug-eluting stent volume to grow from 917.3 thousand units in 2025 to 1,548.5 thousand in 2030, 11.0% a year (RHP p.228).

Structure: the report says Abbott Vascular, Boston Scientific, Medtronic, Teleflex, Biosensors and Terumo hold more than 90% of the drug-eluting stent market (RHP p.231). It names Indian rivals Meril Lifesciences, Integris Health, Relisys Medical Devices and Polymed, and global ones such as Edwards Lifesciences, MicroPort and Lifetech Scientific (RHP p.244). It describes high barriers to entry from testing, clinical evidence and approvals (RHP p.245).

Inputs and trade: the company imports key materials mainly from China, the Netherlands and Germany, mostly priced in US dollars or euros (RHP p.35); imports were ₹241.0 crore in FY26 (RHP p.35). Indian medical device exports rose from USD 2.3 billion in 2020 to USD 4.01 billion in 2025, according to the chapter (RHP p.204).

Rules: devices like these are Class III under EU rules and Class C or D under India's Medical Devices Rules, 2017, which need approval with clinical data (RHP p.194, RHP p.195). In India the government capped stent prices in 2017, cutting them by up to 85%; the ceiling for a drug-eluting stent is now ₹38,267 (RHP p.229).

What the chapter says can go wrong: tariffs and trade wars, inflation and geopolitical conflicts in its economic overview (RHP p.175, RHP p.176), tighter and slower approvals for high-risk devices (RHP p.195), price controls and reimbursement caps, and competition from large global companies with far broader product lines (RHP p.245). The prospectus adds that the price regulator may extend caps to more devices or cap trade margins (RHP p.34).

15Competitive position

Sahajanand Medical competitors

Source: RHP p.244. The report gives no revenue, margin or borrowing figures for these firms in the pages read; listed Indian peers, with figures, are in section 15.

Why customers choose this company, as the prospectus puts it: a portfolio across stents, balloons, TAVI and occluders backed by 75 clinical studies (RHP p.256), manufacturing in India and Thailand at lower labour cost (RHP p.263), direct operations in Germany, Spain, France and the UK (RHP p.256), and acceptance in government tenders and by European purchasing groups (RHP p.257). Customers weigh product quality, technology, portfolio breadth, cost, delivery and relationships (RHP p.36).

16Peers the company named

Peers named in the offer document: Poly Medicure Limited and Laxmi Dental Limited (RHP p.141).

Sahajanand Medical listed peers

Source: RHP p.140, RHP p.141; peer P/E at BSE closing prices of October 6, 2026, revenue converted from ₹ million. The prospectus gives the peers' average P/E as 43.87 times (RHP p.140). Poly Medicure is about 1.5 times the company's revenue and works mainly in infusion therapy and renal products; Laxmi Dental is under a quarter of its size and works in dental laboratories and aligners (our arithmetic, RHP p.145). Neither makes heart implants. Their FY26 EBITDA margins were 24.40% and 15.62%, against the company's 14.10% (RHP p.145).

17Valuation at the issue price

Sahajanand Medical IPO valuation and P/E

At the upper band of ₹344, with no new shares and 101,646,778 shares outstanding before and after the offer (RHP p.72):

Source: RHP p.72, RHP p.140, RHP p.348, RHP p.76; our arithmetic. At the lower band of ₹327 the market capitalisation is ₹3,323.8 crore (our arithmetic, RHP p.72). On total FY26 profit after tax of ₹69.1 crore, including minority holders' share, the P/E would be 50.6 times (our arithmetic, RHP p.76).

Enterprise value, with March 2026 borrowings of ₹269.5 crore and cash of ₹74.1 crore, is ₹3,692.1 crore, 21.6 times FY26 EBITDA of ₹170.7 crore (our arithmetic, RHP p.75, RHP p.141); lease liabilities are left out.

The two peers the prospectus names traded at 51.40 and 36.35 times FY26 diluted earnings on October 6, 2026, a median of 43.9 times (our arithmetic, RHP p.141). At the upper band the issue is priced at 53.6 times FY26 profit attributable to owners, about 22% above that median, and 53.1 times FY26 diluted EPS. The last allotment, to the SMT ESOP Trust in September 2026, and the March 2025 share sales were at ₹365 a share (RHP p.104, RHP p.114), above the upper band of ₹344.

18Risks, in plain words

Sahajanand Medical IPO risks

One product: Supraflex Cruz was 37.17% of FY26 revenue (RHP p.33) → a regulatory, clinical or competitive setback for it would hit revenue directly → trademark oppositions have been filed against the "Supraflex" mark (RHP p.34).

Price controls: all of the company's drug-eluting stents are under India's price ceiling (RHP p.34) → the company cannot raise stent prices in India when costs rise → the ceiling is ₹38,267 per drug-eluting stent (RHP p.229).

Thin profit: PAT margin was 5.71% in FY26 against 16.10% and 10.41% for the named peers (RHP p.145) → small changes in costs move profit a lot → FY24 was a loss of ₹7.4 crore (RHP p.76).

Currency and imports: 73.87% of FY26 revenue came from outside India (RHP p.35) and imports were ₹241.0 crore (RHP p.35) → currency moves change both sales and costs → the company hedges but says the hedge may not protect it (RHP p.35).

Suppliers: the top ten suppliers were 59.15% of FY26 purchases (RHP p.31), and some components come from a single supplier (RHP p.31) → a supply break could stop a line, and a new supplier may need fresh regulatory approval (RHP p.33).

Receivables: trade receivables were ₹286.3 crore at March 2026 (RHP p.41) → late payment ties up cash → bad debts were ₹18.6 crore in FY26 (RHP p.41).

Subsidiaries: the company and some subsidiaries had lent ₹102.8 crore to and guaranteed ₹229.7 crore for other subsidiaries (RHP p.48) → losses abroad could fall on the parent → Vascular Innovations Co Ltd lost ₹12.0 crore in FY26 (RHP p.39).

Financial: borrowings rose to ₹320.6 crore at June 2026 (RHP p.422) → mostly short-term working capital loans → a subsidiary breached a loan ratio in FY24, later condoned (RHP p.42).

Issue-specific: the company receives no proceeds (RHP p.136). Kotak Pre-IPO Opportunities Fund, a Category II AIF, is exempt from the six-month lock-in (RHP p.121).

19Litigation and regulatory matters

Cases against Sahajanand Medical and its promoters

The prospectus counts against the company 2 criminal, 98 tax and 5 regulatory matters, and against the promoters 4 tax matters, with no criminal case (RHP p.43). Its aggregate amounts mix demands, claims and interest, so they are not repeated here.

An income tax search was carried out on the company and Vascular Concepts in June 2022 (RHP p.78), and several reassessments followed (RHP p.461); the company had provided ₹20.5 crore for those years (RHP p.78). The company received complaints in August to October 2025 from Mangesh Kadve alleging over-invoicing, invoicing of expired devices, kickbacks to hospitals and harassment of distributors; the company replied and denied the claims (RHP p.43, RHP p.44).

There are no material civil cases against the company or promoters (RHP p.457, RHP p.459).

20Related-party transactions

Source: RHP p.80, RHP p.83, converted from ₹ million. The company says all are at arm's length (RHP p.86).

What appeared or changed in the two years before filing: Ganesh Sabat's pay rose in FY25, including severance of ₹4.0 crore booked as an exceptional item (RHP p.435); payments to Akilia Partners SL, where a director is a partner, began in FY26 at ₹1.0 crore (RHP p.80); Urmi Dhirajlal Kotadia, described as sister of Bhargav Dhirajlal Kotadia, joined as sustainability manager in April 2025 (RHP p.86). Transactions with subsidiaries, including loans and guarantees, are eliminated on consolidation (RHP p.40).

21What the offer document does not say

Average selling prices per stent, valve or occluder are not disclosed, so growth cannot be split into volume and price. Margins by product line or by region are not given. End customers are not named beyond one hospital group, and concentration is shown only by distributor. Why the Hyderabad TAVI and occluder lines had no output in FY26 is not explained in the pages read. Which subsidiary's minority stake was bought for ₹16.0 crore in FY26 is not set out in the pages read (RHP p.77). Total offer expenses are left blank (RHP p.136).

The prospectus calls its comparison an industry peer group average of 43.87 times while naming only two peers (RHP p.140); the TAVI capacity of 9,000 units in FY26 includes 6,000 units at Hyderabad that produced nothing that year (RHP p.142, RHP p.29).

22Five questions for management

1. What was the average realisation per drug-eluting stent in India and in Europe in FY24 and FY26?
2. How much of the FY26 rise in profit before tax came from Europe, and what is the EBITDA margin there against India?
3. When will the Hyderabad TAVI and occluder lines start production, and what output is needed to cover their costs?
4. What were the ₹18.6 crore of bad debts written off in FY26, and from which markets?
5. How much of the ₹102.8 crore lent to subsidiaries is to Vascular Innovations and SMT Switzerland, which made losses in FY26?

24Draft to final: what changed

Shree Hari Trust's 2,700,000 shares, the absence of a fresh issue, the objects and the four lead managers are the same in both documents (DRHP p.1, RHP p.1, RHP p.4).

1Sources and cited facts

This study was read from 1 document the company filed. The 210 figures it cites are listed under the document each came from, with the page and the sentence as printed.