Laxmi Dental IPO: Key strengths, risks and financials from RHP you need to know

Laxmi Dental IPO: The initial share sale of dental products company Laxmi Dental, which is backed by American investment firm OrbiMed, will open for public subscription on Monday, January 13. The price band for the ₹698.06 crore issue has been set at ₹407-₹428 per share. The initial public offer is a fresh issue of ₹138 crore and an offer for sale of 1.31 crore equity shares.

The IPO will conclude on Wednesday, January 15, while the anchor round bidding will take place on Friday, January 10.

Laxmi Dental IPO: Strengths

• It is the only integrated dental products company in India. Its product portfolio includes custom crowns, bridges, clear aligners, and thermoforming sheets.
• Laxmi Dental is the second-largest player in the domestic laboratory business and the largest export laboratory with a rising adoption of digital dentistry.
• It has ertically integrated diverse branded product portfolio.
• The company's sizeable dental network provides a competitive edge in the market.
• The company has experienced management with significant industry experience in the dental products .

Laxmi Dental IPO: Risks

• The company reported a consolidated loss after tax, negative earnings per equity share for FY23 and FY23, and written-off assets in the past three fiscal years. The company cannot assure that it will not experience such events in the future.
• The success of its business depends on expanding its dental network, being recommended by the dental network, and expanding the wallet share per dental clinic. Failing to achieve this in a cost-effective manner can affect its business.
• Laxmi Dental's business is concentrated in certain jurisdictions, domestically and globally. Any loss of business in such regions can affect the business and financial condition.
• There are pending legal proceedings involving the company, promoters, subsidiaries and directors.
• The business heavily relies on the reputation and perception of its brand. Negative publicity can affect operations.
• All of its manufacturing facilities are located in and around Mumbai. Any incidents related to manufacturing units can affect its operations, business and financial condition.
• Its dental products are subject to extensive regulation, and any non-compliance can affect business.

Laxmi Dental financials Risks