Indira IVF Hospital Ltd, one of India’s largest fertility clinic chains, has pulled its draft red herring prospectus for a planned Rs 3,500 crore initial public offering (IPO) after the Securities and Exchange Board of India (SEBI) raised concerns regarding a Bollywood movie, ‘Tumko Meri Kasam’, which allegedly promoted the company.
SEBI’s concerns stemmed from the movie’s release timing, as it coincided with the company's IPO process. The markets regulator questioned the impact of the movie's promotion, which occurred while Indira IVF, backed by private equity firm BPEA EQT, was in the middle of raising capital.
Founded in Udaipur in 2011, Indira IVF withdrew its draft offer document on March 19, as per SEBI's latest update. The company had initially filed the document just a month prior.
An Indira IVF Hospital’s spokesperson told The Indian Express, “The company had decided to withdraw the pre filed DRHP pursuant to evaluation of various factors and commercial considerations.”
In response to media reports suggesting that SEBI had directed the withdrawal of the IPO, an Indira IVF Hospital spokesperson clarified that such reports were inaccurate. The spokesperson stated, "The decision to withdraw the pre-filed DRHP was made after evaluating various factors and commercial considerations."
About The Movie 'Tumko Meri Kasam'
The movie ‘Tumko Meri Kasam’, directed by Vikram Bhatt, is based on the life of Dr Ajay Murdia, the founder of Indira IVF, who is credited with establishing one of the leading chains of fertility clinics in India. The film stars Anupam Kher, Adah Sharma, Ishwak Singh, and Esha Deol, with Kher portraying Dr Murdia. The company’s other founders include Kshitiz Murdia and Nitiz Murdia. Since its inception in 1998, Indira IVF has expanded to more than 150 centers across the country, offering fertility consultations and treatments.
In FY2024, Indira IVF reported a net profit of Rs 183 crore, a decline from Rs 266 crore in the previous year.
In July 2023, BPEA EQT, a private equity firm, acquired a controlling stake in Indira IVF from TA Associates. BPEA EQT is a combination of the private equity teams from Baring Private Equity Asia (BPEA) and EQT Asia.