Sahajanand Medical technologies Limited

This section primarily discusses industry and market data sources, macroeconomic outlooks, and healthcare expenditure trends. It details the use of a Frost & Sullivan report for industry analysis and provides projections for global GDP growth, various regional economic growth rates, and trends in global inflation. Furthermore, it covers the upward trajectory of global healthcare expenditure, driven by factors like increased access to care and aging populations.

The healthcare sector is influenced by the prevalence of chronic diseases, which are expected to cost a significant amount globally, and by advancements in precision medicine and next-generation diagnostics. Global healthcare access has improved due to various programs, and technological advancements like AI and automation are helping to reduce diagnostic lead times. Chronic diseases, such as diabetes, heart disease, cancer, and respiratory diseases, are increasing worldwide, with the burden disproportionately affecting low- and middle-income countries. Furthermore, the burden of Non-Communicable Diseases (NCDs) is rising due to lifestyle changes and metabolic disorders, with specific concerns noted in India regarding the rapid increase in diabetes and hypertension.

The text discusses the growing burden of Non-Communicable Diseases (NCDs) like hypertensive cardiac disease and diabetes in India, noting that these conditions are prevalent, especially in low and middle-income countries. It highlights the significant impact of cardiovascular diseases (CVDs), which account for a large portion of global deaths, and the challenges in early detection and management in regions with limited healthcare access. Furthermore, the text details the state of the Indian healthcare infrastructure, pointing out a significant gap between the number of available beds and the necessary standards set by WHO, which presents an opportunity for private operators. Finally, it covers aspects related to healthcare financing, including rising medical inflation, increasing health insurance adoption, and government initiatives like Ayushman Bharat, alongside the high out-of-pocket spending burden.

The Indian healthcare sector shows a dominant role for the private sector, with private hospitals accounting for about 65% of the beds compared to 35% in public hospitals in 2023. The private sector is driving growth in non-hospital healthcare settings, and the private healthcare sector accounts for 70-80% of all healthcare expenditures. The demand for hospital infrastructure is increasing, with projections for new beds and the need for additional beds to meet healthcare demand. Furthermore, the Cath lab infrastructure in India is expanding rapidly to meet the demand for cardiac and minimally invasive procedures.

The regulatory landscape for medical devices varies significantly across different countries, with developed markets prioritizing rigorous oversight while emerging markets seek faster approval pathways. Medical devices are classified based on risk, ranging from low-risk items like surgical gloves to high-risk devices such as implantable pacemakers. Companies must develop tailored regulatory strategies to navigate these diverse requirements, especially when considering the differences between regions like the US, European Union, Japan, China, and India. Furthermore, market dynamics include an increasing burden of chronic non-communicable diseases and evolving reimbursement policies for cardiac procedures across various healthcare systems.

The text discusses the evolving landscape of cardiovascular procedures, highlighting differences in reimbursement and regulatory environments across various regions. It details how different jurisdictions implement fee-for-service models, set reimbursement limits for medical devices, and manage post-market surveillance for cardiac treatments. Furthermore, the text covers the impact of regulatory transitions like the EU MDR and US FDA regulations on medical device approval, and the efforts towards global regulatory harmonization. It also compares the availability of cardiac surgeons across different countries and emphasizes the role and emerging trends within Cath Labs for diagnosing and treating heart conditions.

The Indian medical device industry covers several segments, including Equipment and Electronics, Disposables and Consumables, IVD equipment and Reagents, Implants, Surgical Instruments, and other devices. India is recognized as a top 20 global market for medical devices in terms of value. The market is experiencing a transition from import dependency towards increased domestic production and exports. Various government initiatives, such as the PLI Scheme and Medical Devices Parks Scheme, have been introduced to foster domestic manufacturing. Furthermore, regulations have been updated to ensure quality and safety, including new classifications for medical devices and guidelines for marketing practices.

The Indian government has implemented several initiatives, such as the Production-Linked Incentive (PLI) scheme and Medical Device Parks, to boost manufacturing and reduce import dependency in the medical device sector. Furthermore, policies aim to foster collaboration between industry and academia through new policies. The FDI policy has also been reformed to streamline the regulatory environment for pharmaceutical and medical device companies. India's ranking in innovation indices has boosted FDI, and private equity is actively investing in Indian MedTech startups for international expansion. The ecosystem shows a trend towards indigenous companies, leveraging cost advantages like lower labor costs and raw material availability, alongside government support for R&D and technology development.

The Indian Medtech sector is positioned to become a global powerhouse by leveraging government support and investment in R&D, allowing players to supply affordable and high-quality medical technologies worldwide. The cardiovascular devices market is segmented into Vascular Interventional Devices and Structural Heart Devices. The global market is expected to grow significantly, driven by increasing cardiovascular disease prevalence and technological advancements. The industry is characterized by innovation aimed at safer, less invasive solutions, and the market dynamics show a disparity in procedure adoption between developed and emerging economies.

The demand for percutaneous coronary interventions (PCI) is increasing due to a growing geriatric population and higher risk factors, which is driving procedural volumes. The market exhibits regional variations, with Asia-Pacific (APAC) showing the fastest growth, holding the largest revenue share globally. Key markets include North America, Europe, the Middle East and Africa (MEA), and Latin America, each with distinct growth drivers related to local healthcare access and regulatory environments. Vascular interventional devices are broadly classified into coronary and peripheral vascular interventions, which involve various devices such as stents, balloons, and catheters used to treat blocked arteries and other vascular conditions.

The market for vascular interventional devices is characterized by significant growth across various procedures, including cardiac imaging, various stents, and drug-coated balloons. Key products such as Intravascular Ultrasound (IVUS) and Optical Coherence Tomography (OCT) are important in coronary vascular interventions, and the market for Intravascular Lithotripsy (IVL) is also expanding. Furthermore, the market for Superficial Femoral Artery (SFA) and Iliac artery stents, peripheral drug-coated balloons (DCBs), and atherectomy devices are all valued and projected to grow substantially. The industry has seen a transformation from bare metal stents to drug-eluting stents (DES), which are now the market standard, driven by technological advancements and favorable reimbursement policies.

The text discusses the market for cardiac stents in Latin America, noting the increasing number of PCI procedures and growth in DES sales volumes in Brazil and Mexico. It also forecasts significant growth in the Indian DES market, driven by rising cardiovascular diseases and affordability factors. Furthermore, the text compares various manufacturers of DES stents and discusses the broader structural heart devices market, which is expanding due to minimally invasive procedures like TAVI and TMVI.

The text discusses advancements in cardiac procedures, particularly Transcatheter Aortic Valve Implantation (TAVI), which has expanded its indications beyond high-risk patients. Occluder devices are used to close various heart defects, and these devices are experiencing technological evolution. The market for structural heart devices shows significant growth, with various segments like TAVI, occluders, and LAA closure devices having distinct revenue shares and growth prospects. Furthermore, the Indian structural heart device market is expected to grow substantially due to increased awareness and affordability of products.

The text provides an overview of the market dynamics for Transcatheter Aortic Valve Implantation (TAVI) procedures across various global regions, highlighting differences in market penetration and growth drivers. The European market shows steady growth, while the APAC region is experiencing high growth due to increasing accessibility and adoption in key countries. The North American market dominates the global TAVI revenue share, although growth has shown signs of deceleration. The text also details various factors influencing market growth, such as the expansion of indications, the aging population, favorable reimbursement policies, technological advancements, and the impact of rising aortic valve stenosis.

The market has seen shifts in the competitive landscape due to changes in reimbursement structures and pricing pressures, leading to emerging companies expanding globally. While North America and Europe have historically driven the largest revenue, there has been a shift in volume sales towards emerging economies and domestic participants in China and India. Price reductions in European countries also facilitated the penetration of these emerging companies. Major players are investing in R&D for advanced cardiovascular devices, and there is a push for companies to expand globally through mergers and acquisitions. Indian companies like SMT have established themselves with comprehensive portfolios and have achieved significant milestones in product innovation and market penetration.

This section provides a comparison of Key Performance Indicators (KPIs) for the issuer against several industry peers across different financial years. The data includes metrics such as EBITDA, profit after tax (PAT), margins, debt ratios, return on equity, and return on capital employed. It also details operational KPIs like turnover ratio, net working capital days, product revenue splits, geographical revenue splits, and manufacturing capacity utilization.

The company is a medical devices company classified as Class III and Class C/D, focusing on technologically advanced devices across vascular and structural heart intervention. The company has a history of innovation, including receiving a CE certification for a biodegradable polymer-based paclitaxel-eluting stent. The business is R&D-driven, emphasizing precision manufacturing to deliver quality products supported by clinical data. The product portfolio includes coronary intervention products like stents and balloons, as well as structural heart devices such as TAVI systems and occluders.

The company offers a range of medical devices, including drug-coated balloons for coronary arteries, self-expanding heart valves for TAVI procedures, and occluders. Key products include Sironity for drug-coated coronary DCBs, Hydra for TAVI, and various PTCA balloon catheters. The company emphasizes robust research and development capabilities, holding numerous patents, and has established clinical evidence supporting its products. The company operates integrated manufacturing facilities in India and Thailand, leveraging lower labor and manufacturing costs, and maintains a geographically diversified sales and marketing presence across numerous countries.

The company's manufacturing facilities are accredited by multiple global regulatory bodies, and their products hold certifications from various international agencies. The company possesses significant in-house capabilities for designing and manufacturing advanced machinery, including laser cutting, electro polishing, and drug/polymer formulation. They have integrated manufacturing processes, such as replacing externally sourced balloon catheters with self-manufactured ones, which has led to cost reductions and improved quality. The company has a dedicated regulatory team to ensure product compliance with necessary regulations across global markets. The company has a track record in M&A, including acquisitions that expanded their product portfolio, such as adding devices in the SH category. Furthermore, they are actively pursuing collaborations with global medical device companies to introduce new technologies.

The company develops and optimizes multiple versions of coronary stents, with Supraflex Cruz being the current flagship and most advanced device. This stent belongs to the Supraflex family and has demonstrated clinical safety and effectiveness through various trials. The company also offers drug-coated balloons, such as Sironity, which deliver antiproliferative drugs to the vessel wall without a permanent metallic implant, and various catheter systems. Furthermore, the company has products for Transcatheter Aortic Valve Implantation (TAVI), including the Hydra valve, which is a self-expandable transcatheter aortic valve. They also offer occluder devices for closing various heart defects.

The company develops advanced transcatheter occluder devices, such as Cocoon, which is a self-expandable double disc device made of platinum-covered nitinol for superior biocompatibility and corrosion prevention. The company has a product pipeline including various devices, such as stents, catheters, drug-coated PTA balloons, and next-generation TAVI systems like Hydra Elevate. The company has received various regulatory approvals across different regions, and manufacturing is carried out in-house at facilities located in India, Gujarat, and Thailand.

The company has developed capabilities through vertical integration, specifically by bringing balloon catheter manufacturing in-house to achieve cost reductions and improved quality control. This integration allows for the development of more complex balloon catheters, such as semi-compliant (SC) and non-compliant (NC) versions, which are essential for the manufacture of DES. Key manufacturing capabilities at the Hyderabad facility include Nitinol processing, polymer extrusion, braiding, and lamination. The company is developing prototypes for key components like TAVI, TAVI Nitinol frames, and AVDC components, which are currently in the prototype validation stage, with plans to seek regulatory approval to use the Hyderabad facility as an additional approved manufacturing source. Furthermore, a subsidiary has received funding under a Marginal Investment Scheme for Reducing Import Dependence to support this vertical integration initiative.

This section details various clinical studies conducted for the company's TAVI products, including results for the Hydra and Occluder devices. It also outlines the company's sales and distribution models, which include direct, hybrid, and distributor-led approaches across different countries. The document specifies the number of countries where the company has direct, hybrid, or distributor sales presence as of June 30, 2026, and lists the locations of its branch offices and warehouses in India.

The company operates in a highly competitive segment subject to frequent changes in product development and industry activities, competing against several domestic and multinational companies. The company has established rigorous quality control procedures, ensuring raw materials and finished products pass stringent quality tests, and all products are manufactured in accordance with ISO 13485:2016. The company is subject to routine internal and external quality audits for GMP and CE compliance, and various manufacturing facilities receive periodic certifications from independent external agencies, including DCGI (India), CE (Europe), and ANVISA (Brazil).

The issuer's operations are subject to a wide array of Indian laws covering various aspects such as animal welfare, drug pricing, essential commodities, medical devices, and consumer protection. Key regulations include those concerning the prevention of cruelty to animals, control over drug pricing, and the regulation of essential commodities. Furthermore, the company's activities are governed by laws related to the manufacture, distribution, and sale of drugs, medical devices, and cosmetics, alongside various intellectual property and environmental regulations. Tax laws also apply to the company's operations.

The company's operations and compliance obligations are governed by various Indian laws concerning fire safety, electricity, labour, and foreign trade. This includes regulations from the Bureau of Indian Standards (BIS) for fire extinguishers, Central Electricity Authority regulations for electricity, and numerous labour laws. Furthermore, the company must comply with various Labour Codes, which subsume previous central labour statutes, and specific rules regarding factory operations and contract labour. The company is also subject to regulations related to foreign trade, foreign investment, and data protection laws. Finally, the company operates through subsidiaries located in several international countries.

The company's history began as a partnership in 1999, which was subsequently re-constituted in 2001 and converted into a private limited company. It later transitioned to a public limited company in 2021, resulting in a name change. The company has undergone several significant structural changes, including changes in its registered office and various acquisitions and mergers with other entities over the years. The company has also had various awards and accreditations recognized by industry bodies.

The company has twelve subsidiaries as of the date of this Red Herring Prospectus, including SMT Cardiovascular, SMT Ireland, SMT Germany, SMT Switzerland, SMT Polonia, SMT CIS, SMT Iberia, and SMT Brazil. Details regarding the incorporation dates, business activities, capital structures, and financial performance for each subsidiary are provided. Key subsidiaries include SMT Cardiovascular, incorporated in 2019, and SMT Ireland, incorporated in 2016. Financial data for these entities is presented across various fiscal years.

This section details the corporate structure and various agreements related to the company. It outlines the incorporation details for SMT USA and Vascular Innovations, including their respective corporate identification numbers and business activities. It also specifies the shareholding patterns for both entities, showing that SMT Ireland holds the majority stake in both. Furthermore, the text discusses various agreements, including a Shareholders’ Agreement, and provisions related to the Waiver cum Amendment Agreement for the Offer, which govern rights concerning the company's structure and future listing.

The definitions section identifies the issuer as Sahajanand Medical technologies Limited, a public limited company incorporated under the Companies Act, 1956. The registered office is located in Surat, Gujarat. The document outlines various terms related to the offer process, including definitions for various parties, documents, and financial information. It specifies that certain terms, such as 'Company', refer to the issuer, and details various aspects of the offer procedure.

This section defines various terms related to the offer process, including different types of bidders, various accounts, and procedural aspects. It specifies who is entitled to bid at the cut-off price, details regarding the timing for fund blocking, and the various parties involved in the bidding process. It also outlines different portions of the offer, such as the Employee Reservation Portion and the QIB Portion, and the various agreements and regulatory circulars that govern the issuance.

This section primarily lists various medical and pharmaceutical terms, such as DCB Drug coated balloon, ECG, MRI, and various regulatory acronyms like EU MDR and FDA bodies. It also defines financial and accounting terms, including various ratios like EBITDA margin, Return on Equity, and metrics related to working capital and debt. The text details calculations for key performance indicators used in the offer pricing basis.

This section primarily details conventions for the presentation of financial, industry, and market data within the Red Herring Prospectus, including definitions for various geographical regions and currencies. It specifies that financial information is derived from Restated Consolidated Financial Information, and it highlights significant differences between Indian Accounting Standards (Ind AS), U.S. GAAP, and IFRS, with no reconciliation provided. Furthermore, it outlines the use of non-GAAP financial measures and emphasizes that these measures should not be considered in isolation. The text also discusses the source of industry and market data, which is from a report commissioned and paid for by the company for the offer.

The offer details specify the maximum size for the offer, which is up to 1,38,22,116 equity shares with a face value of ₹ 1 each, aggregating up to a certain amount. The offer is divided into several components, including an Employee Reservation Portion, a Net Offer, and various portions for QIBs, Non-Institutional Bidders, and Retail Bidders. The structure details how the QIB portion is allocated among Anchor Investors, Mutual Funds, and other QIBs, and how the Non-Institutional portion is divided based on the size of the bid. The document also outlines various rules regarding the allocation and reservation of shares for different bidder categories.

This section details the restated consolidated statement of cash flows for various periods, showing movements in operating, investing, and financing activities. It also summarizes contingent liabilities as of June 30, 2026, categorized under Income Tax, GST, and Custom matters. The text mentions past tax-related provisions and ongoing appeal proceedings related to assessments from previous years.

This section details the share capital structure of the company, including the authorized, issued, and paid-up share capital. It also provides a comprehensive history of equity share allotments, detailing various dates, numbers of shares allotted, face value, and issue prices. The history spans from October 18, 2001, through various subsequent issues and bonus issues, culminating in a detailed list of allotments on March 20, 2009.

The provided section details various allotments of equity shares and preference shares across different dates. It includes numerous instances of share allotments to various individuals and entities, with details on the number of shares, face value, and issue price. Furthermore, it outlines a history of preference share allotments and a section on secondary transactions involving promoters and the promoter group. The text also mentions that certain equity shares were allotted on a partly paid-up basis and subsequently made fully paid-up.

This section details numerous equity share transfers in Sahajanand Technologies Private Limited, covering transactions from August 2010 to July 2013. The transfers involved various numbers of shares, with face values ranging from ₹1.00 to ₹6.00 per share, and all consideration being in cash. The transactions show a significant volume of transfers clustered around July 25, 2013, involving many different parties and share quantities.

This section details various share transfers that occurred between different parties, involving a range of equity shares. The transfers span from July 2013 to July 2025, with some transactions involving cash and others involving different consideration. There is also information regarding past allotments, including a bonus issue in May 2006 and a preference share allotment in January 2025 following a merger. The data shows numerous transactions with various individuals and entities.

The document outlines various provisions regarding share allotments, such as those pursuant to schemes of arrangement, issues at a lower price than the offer price, and employee stock option schemes. It also details the history of promoter shareholding build-up and various transactions involving equity shares over time. Furthermore, it specifies conditions for promoter's contribution being locked-in for a period following allotment.

The document details various aspects of the company's capital structure, including promoter contributions and shareholding patterns. It specifies that 36.71% of the issued equity share capital represents the promoters' contribution, with agreements in place to prevent the disposal of this contribution for a specified period. Furthermore, it outlines rules regarding the locking-in of equity shares and potential pledges as collateral for loans. The shareholding pattern section provides a breakdown of ownership by different categories, including promoters, public entities, and employee trusts, showing the distribution of shares on a fully diluted basis.

The section details the shareholding structure of the company, including pre-offer and post-offer shareholding percentages for various shareholders. It also outlines restrictions regarding pledged shares and the process for employee stock option schemes (ESOP 2021). Key points include the breakdown of promoter and promoter group holdings, the percentage of shares held by additional top 10 public shareholders, and disclosures about the nature of the offer and the handling of employee stock options.

This section details various aspects of the company's capital structure, including vesting schedules, interest rates, and market prices for different periods. It covers information related to Employee Stock Option Plans (ESOPs) under Pool 2 and Pool 3, including the number of options outstanding, granted options, and the resulting equity shares from option exercise. Furthermore, it includes details on the grant dates, exercise prices, expected volatility, and various interest rates and market prices for options.

The objects of the offer primarily involve the Offer for Sale of 1,38,22,116 Equity Shares, which represents 13.60% of the pre-Offer Equity Share capital, and the benefits derived from listing the Equity Shares on the Stock Exchanges. The company anticipates that the listing will improve visibility and brand, and provide liquidity to existing shareholders, offering a public market for the Equity Shares in India.

This section provides various Key Performance Indicators (KPIs) that the company uses to evaluate its business performance, which are approved by the Audit Committee. These KPIs include financial metrics such as Revenue from operations, EBITDA, Profit After Tax (PAT), Net Debt to EBITDA, and various Return on Equity and Return on Capital Employed percentages. Operational KPIs cover aspects like Gross Tangible Fixed Asset Turnover Ratio, Net Working Capital days, and the split of revenue by product categories and geography. The document also details the manufacturing capacity and utilization for different product lines.

This section primarily details various Key Metrics and Financial KPIs for the company, including metrics for Net Debt to EBITDA, Return on Equity, and Return on Capital Employed. It also provides breakdowns of revenue split by product categories and geography, as well as manufacturing capacity utilization. The text also includes notes on the comparison of KPIs based on additions or dispositions to the business, and details regarding the Weighted Average Cost of Acquisition (WACA) for various equity share transactions.

This section details the special direct tax benefits available to the Company and its shareholders under various provisions of the Income-tax Act, 2025 and related rules. It outlines several provisions concerning lower corporate tax rates for domestic companies and new domestic manufacturing companies, as well as various deductions and exemptions available for the Company and its Material Subsidiary in India. The benefits are contingent upon the fulfillment of specific conditions prescribed under the relevant Taxation Laws.

The provided text primarily discusses various tax implications for shareholders and the availability of special indirect tax benefits for the company and its material subsidiary in India. It details rules regarding dividend income taxation, capital gains tax rates, and the applicability of different tax regimes for individual shareholders. Furthermore, the text outlines several special indirect tax benefits related to exports, imports of capital goods, customs duty concessions, and benefits under the Special Economic Zones Act. It also mentions state-specific incentives and the scope of tax benefits available to shareholders.

This section primarily deals with statements regarding special tax benefits available to a material subsidiary in Ireland under the direct and indirect tax laws of the Republic of Ireland. The document clarifies that no special tax benefits are available under the current tax laws in force in Ireland. It includes numerous notes emphasizing that the information provided is for general investor information only and is not a substitute for professional tax advice. Furthermore, it specifies the scope of the tax laws covered and advises investors to consult their own tax consultants regarding the specific tax implications of their participation in the proposed initial public offer.

The provided text primarily discusses the statement of possible special tax benefits available to the Material Subsidiary in Thailand, specifically Vascular Innovations Co. Ltd. (VIC). It details various Board of Investment (BOI) tax incentives obtained by VIC through two different certificates, which relate to the manufacturing of cardiac closure devices and aortic valves and equipment. The incentives include exemptions or reductions on import duties for machinery, raw materials, and items imported for re-export. Furthermore, there are provisions related to corporate income tax (CIT) exemptions, loss deductions, and rules concerning the distribution of dividends derived from promoted activities.

The provided text details various tax regulations and considerations related to operations, primarily in Thailand, including corporate income tax exemptions, withholding tax, value added tax, and stamp duty. It outlines rules for income from medical instrument sales, rules for payments to individuals or corporate bodies, VAT implications for local and exported goods, and rules concerning instruments and loans. There is also a statement regarding tax benefits in Spain for a specific company.

This section details the scope and reliance placed on the audited financial information for the Restated Consolidated Financial Information. The Board of Directors examined various financial statements, including interim and consolidated statements for different periods, and relied on the reports from other auditors for certain subsidiaries. The financial information was prepared incorporating retrospective adjustments for changes in accounting policies, material errors, and regrouping/reclassifications. The report confirms that the financial information was prepared in accordance with applicable regulations and that no modifications were required based on the underlying audit reports.

This section provides restated financial statements for Sahajanand Medical technologies Limited, including the consolidated statement of assets and liabilities, profit and loss, and cash flows for different periods. The data covers periods ending in June 2026, March 2026, March 2025, and March 2024. The statements detail various line items such as revenue, expenses, income, tax, and cash movements, with figures presented in INR million.

This section details the basis of preparation for the Restated Consolidated Financial Information, outlining the scope of the financial data provided by Sahajanand Medical technologies Limited (SMT) and its subsidiaries. It specifies the standards used, including adherence to various sections of the Companies Act, SEC regulations, and guidance notes from the ICAI. The text also covers accounting policies such as the basis of accounting, the treatment of inventories, revenue recognition, and the consolidation of subsidiaries. Furthermore, it explains the treatment of various financial instruments, foreign currency transactions, and lease accounting under Ind AS.

This section details various accounting policies and judgments related to the financial statements, including provisions, contingent liabilities, segment reporting, and various estimations made by management. It outlines specific rules for recognizing items like government grants, income tax expenses, and the treatment of different asset classes. Furthermore, it provides extensive notes on the accounting for Property, Plant and Equipment and Right-of-Use assets, including historical balances and additions, disposals, and exchange differences across different reporting dates.

This section details various financial notes related to the company's assets, including Capital Work-in-Progress, Goodwill, Other Intangible Assets, and Deferred Tax Assets/Liabilities. It provides movement details for these items across different reporting dates and outlines the methodology for assessing goodwill impairment and deferred tax balances. The data includes figures for different periods, such as as at 31 March, 2024, 2025, and 2026.

This section details various financial notes related to the financial statements, including tax reconciliation, inventory valuation, trade receivables aging schedules, cash balances, and equity share capital details. It provides breakdowns of tax expenses, inventory movements, and the composition of the equity shareholding among various parties. Furthermore, it outlines the structure and movement of equity shares, including details on employee stock option plans (ESOP) and the shareholding of promoters and other investors.

This section details various components of the company's equity, borrowings, and other financial liabilities as of June 30, 2026, compared to March 31, 2026, and March 31, 2025. It includes information on securities premium, retained earnings, various reserves, different types of borrowings, and details regarding loans from banks, vehicle loans, and other financial obligations. The text also provides context on the nature and purpose of these reserves and borrowings, along with details on trade payables and other liabilities.

This section details various financial line items for the company, including revenue, operating income, income, expenses, inventory movements, employee benefits, and financing costs across different periods. The data is presented for three-month periods ending June 30, 2026, and full years ending March 31, 2026, 2025, and 2024. It also includes disclosures regarding contingent liabilities, related party transactions, and tax matters.

This section details various related party transactions and balances for Sahajanand Medical technologies Limited across different reporting periods. It includes disclosures on trade payables, capital advances, employee-related liabilities, security deposits, and various inter-company transactions such as the sale and purchase of products, as well as interest income, dividend receipts, and various commission and expense items related to different entities.

This section details various related party transactions, including reimbursements, purchases of capital assets, loans, and equity investments between the company and its related entities. The data is presented for different periods, covering transactions for the period ended June 30, 2026, and for the year ended March 31, 2026, as well as for the period ended June 30, 2026, and for the year ended March 31, 2025. The data involves numerous subsidiaries and related parties, with specific line items detailing the flow of funds and assets.

This section details various related party balances, including investments, loans, receivables, payables, and other receivables across different entities as of June 30, 2026, and March 31, 2026. The data includes figures for numerous subsidiaries and related companies, showing fluctuations in these balances over the period. Specific line items such as trade receivables, loan receivables, and various payables are presented for several parties.

This section details various related party disclosures, including loans, guarantees, and funding arrangements between the company and its subsidiaries and other entities. It also outlines the financial risk management policies of the Group, covering liquidity risk, market risk, and credit risk. The financial risk management framework is established by the Board of Directors to identify, analyze, and monitor risks, ensuring that financial activities adhere to set limits and policies.

This section details various aspects of the company's financial position, including credit and market risk management, sensitivity analysis for foreign currency and interest rates, and the structure of its financing and capital. It presents comparative data for trade receivables, payables, borrowings, and other balances across different reporting dates. Furthermore, it outlines the impact of currency fluctuations on profit/loss and interest rate changes on borrowings, as well as the composition of the group's capital structure and gearing ratio.

This section details various actuarial and employee benefit calculations, including defined benefit plans, employee stock option schemes, and related financial provisions. It covers movements in liabilities, assets, and various actuarial losses and gains over different periods. Furthermore, it outlines the details of the ESOP 2021 plan, including vesting schedules, the number of options granted, and the fair value determination methodology using a Black-Scholes model.

This section provides summarized financial data for Sahajanand Medical technologies Limited, including the Balance Sheet, Profit and Loss statement, and Cash Flow statement for different periods. The data includes figures in INR million and is presented for the three-month period ended June 30, 2026, and for the years ended March 31, 2026, 2025, and 2024. It also details various disclosures related to non-controlling interests, funding arrangements, and lease accounting.

This section details various financial disclosures, including loan transactions, ratio analyses, and performance metrics for Sahajanand Medical technologies Limited across different periods. It includes tables showing loan amounts given, repayments, and conversions to equity for various entities, as well as ratio calculations such as Current Ratio, Debt Equity ratio, Debt Service Coverage Ratio, Inventory Turnover Ratio, Trade Receivables turnover ratio, Trade Payables turnover ratio, Net Capital Turnover Ratio, Return on Equity Ratio, Return on Investment, and Net Profit Ratio. The text also provides context on the impact of new labour codes and details regarding managerial remuneration.

This section details the company's capitalization structure as of June 30, 2026, and provides a summary of its financial indebtedness. The total borrowings amounted to ₹320.63 Crore, broken down into secured and unsecured categories. The analysis also outlines various details regarding the terms of the borrowings, including tenor, interest rates, security requirements, and events of default. Furthermore, the text highlights the company's product portfolio, R&D activities, and market position in the medical device sector.

The company operates with integrated manufacturing facilities in India and Thailand, which is intended to provide high control over the value chain. The company has demonstrated expertise in executing mergers and acquisitions across various geographies and product categories, successfully entering new product segments like Occluders and TAVI. The business relies heavily on its R&D capabilities, evidenced by a robust intellectual property portfolio and industry-first achievements in product development. The company maintains an extensive sales and distribution network across numerous countries using a mix of direct, hybrid, and distributor-led models to optimize global sales. Furthermore, the company faces risks related to the volatility of raw material costs, supply chain dependencies, and foreign exchange fluctuations.

This section details the financial results for a three-month period ended June 30, 2026, and compares them with the preceding years. It outlines various expense categories such as employee benefits, finance costs, depreciation, and other operational expenditures. The data is presented in tables showing the breakdown of revenue by business vertical and geography, alongside comparisons between fiscal years.

This section details various financial metrics, cash flows, and indebtedness for the company across fiscal years. Key figures include profit before tax, tax expenses, cash flows from operating, investing, and financing activities, as well as balances for cash and cash equivalents. The data allows for the calculation of several non-GAAP measures, including EBITDA margins, net debt ratios, and returns on equity and capital employed.

The financial statements for the three-month period ended June 30, 2026, show fluctuations in various financial metrics across the fiscal years 2026, 2025, and 2024. Net worth attributable to owners of the company showed a decrease from ₹631.72 Crore in FY26 to ₹526.30 Crore in FY24. Revenue from operations demonstrated significant variation, with a peak in FY25, followed by a drop in FY26. Debt service coverage and interest coverage ratios were calculated based on various components of profit/loss and interest expenses.

This section details various accounting treatments and measurement principles for different financial statement components, including business combinations, property, plant and equipment, goodwill, intangible assets, financial instruments, foreign currency transactions, employee benefits, and leases. It outlines specific rules for measuring assets, liabilities, and financial instruments, including considerations for fair value, amortized cost, and various impairment testing procedures. Furthermore, it specifies how different types of costs, such as transaction costs and development expenditures, are recognized in the financial statements.

This section details various accounting treatments and disclosures related to the financial statements, including current and deferred taxes, impairment of assets, provisions, contingent liabilities, segment reporting, exceptional items, government grants, borrowing costs, share-based payment arrangements, earnings per share calculations, and cash flow reporting methods. It also includes various risk factors concerning economic changes, competition, supplier dependence, and future developments.

Investors should be aware that the company operates under extensive regulatory requirements across various jurisdictions, including India and the European Union, which may negatively impact its ability to offer products. Compliance involves adhering to numerous legislations such as the Drugs and Cosmetics Act, 1940, and various medical device rules, which necessitate obtaining specific approvals and consents from relevant authorities. The process for obtaining marketing approval or clearance for new products or modifications can be time-consuming, require substantial expenditure, involve rigorous testing, and may impose limitations on product usage. Furthermore, there is a risk that product registrations could be cancelled due to misclassification, leading to inventory write-offs. The global regulatory environment is becoming increasingly stringent and unpredictable, posing risks related to delays, increased costs, and potential adverse actions from regulators.

The company faces several risks related to operational capacity, supply chain dependencies, and regulatory compliance. Risks include under-utilization of manufacturing capacity and potential delays in modernization, as well as operational disruptions such as equipment failure, power shortages, or labor disputes. Furthermore, the company is highly dependent on third-party suppliers for raw materials and components, exposing it to volatility in pricing, availability, and potential supply disruptions. There are also significant regulatory risks concerning the timely renewal of necessary permits and licenses, and potential adverse actions from regulatory authorities. Finally, the company's revenue is heavily reliant on specific products, and the pricing of medical devices is subject to regulatory controls that could impact profitability.

The company faces risks related to pricing flexibility due to potential reimbursement caps imposed by governments and insurers, which could constrain pricing, especially in international markets. There is also exposure to foreign currency exchange rate fluctuations affecting revenues and costs, as revenues and expenditures are denominated in various foreign currencies. The company's reliance on its distribution network presents risks, including the potential loss of key distributors or disruptions in product delivery due to various factors. Furthermore, the company operates in a highly competitive medical device industry with rapid technological changes, and there is a risk concerning the enforcement of intellectual property rights globally. Finally, the company's reliance on R&D for future growth is subject to uncertainty regarding product success, and past losses incurred by the company and its subsidiaries pose a risk to future financial stability.

The company faces several risks related to its working capital, including the uncertainty of generating sufficient internal accruals or securing external working capital. There are ongoing concerns regarding related party transactions, which may involve conflicts of interest. Furthermore, the company is exposed to risks from its acquisitions, such as the difficulty of integrating acquired businesses and potential delays or disputes with government authorities regarding such acquisitions. The company also faces risks from its reliance on third-party partnerships, including the potential for termination of agreements, and exposure to various market and operational risks in its international markets, such as trade restrictions, economic instability, and currency fluctuations.

The company faces several risks related to international operations, including weaker intellectual property protection and potential anti-corruption penalties. International operations are subject to evolving legal and regulatory requirements for medical devices, which may cause delays and expenses in commercializing products. Furthermore, there is a risk of government scrutiny, civil, and/or criminal proceedings due to non-compliance with legal requirements. The company also has issues with untraceable corporate records and instances of delays in paying statutory dues, which could negatively impact financial results and reputation. Finally, the business heavily relies on key managerial personnel, and the inability to attract or retain such personnel poses a significant threat to the business.

The risk factors detailed in this section cover several areas, including employee attrition, potential issues with unsecured loans, internal control weaknesses, and product liability exposure. Risks include the potential for employee attrition to negatively impact business performance, the possibility of lenders recalling unsecured loans, and the risk of internal control failures leading to misreporting. Furthermore, the company faces product liability exposure due to its high-risk medical devices, which could result in costly claims, reputational damage, or regulatory actions across different jurisdictions.

The risk factors outlined in this section cover several areas of potential adverse impact on the company. Risks include liability claims that could cause reputational damage or financial harm, failures in information technology systems leading to data breaches or operational outages, and the potential for new laws and regulations to create compliance burdens. There are also significant environmental risks related to manufacturing operations, including potential pollution and the need for costly compliance investments. Furthermore, the company faces risks associated with supply chain disruptions, dependence on healthcare professionals for product development, and uncertainties in international trade policies and duties.

The document outlines several material risks for the company, including exposure to international sanctions which could impact operations and contractual arrangements. There are concerns regarding the potential for employee stock option grants to negatively affect profitability. Furthermore, the company faces risks related to obtaining and maintaining necessary permits and licenses, which could interrupt operations. There are also concerns about the company's reliance on financing, as difficulties in securing funds could hinder growth. The document details past issues with exchange control regulations and various filings, which could lead to legal challenges. Finally, there are concerns about the relationship between certain directors, key managerial personnel, and the company, and potential liabilities from past tax and customs matters.

The company faces various risks related to contingent liabilities, including tax matters, customs issues, and anti-bribery laws, which could negatively impact earnings and financial stability. There is also a risk associated with the potential for credit rating downgrades, which could restrict access to capital and increase borrowing costs. Furthermore, the company is exposed to risks from geopolitical events, economic slowdowns, public health crises, and changes in tax or trade policies in India and globally. Operational risks are also highlighted by dependencies on power and fuel availability, and the potential for disruptions to these supplies.

The company faces various risks related to the operating environment, including exposure to economic slowdowns and changes in laws and regulations. There is uncertainty regarding the enforcement of contractual agreements in foreign jurisdictions and potential adverse changes in corporate and tax laws. Furthermore, the business is vulnerable to fluctuations in international trade policies, geopolitical tensions, and the imposition of tariffs. Risks also exist concerning market surveillance post-listing, potential inflation impacting cost pass-through, and volatility in exchange rates affecting the trading price of equity shares.

The document outlines several risks related to the offering and trading of the Equity Shares. Risks include the uncertainty of developing a public market for the shares and the inability to resell shares at the offer price. There are also significant tax implications concerning capital gains and dividend distributions under Indian tax laws. Furthermore, there are concerns regarding potential changes in legislation and the inability to predict its impact on the business. Restrictions exist regarding foreign investment and exchange controls, which can constrain the ability to attract foreign investors or raise foreign capital. Finally, there are procedural risks related to the listing and trading commencement of the Equity Shares on stock exchanges.

The section confirms that as of the date of the Red Herring Prospectus, there are no outstanding criminal proceedings, regulatory actions, or disciplinary actions against the Company, Promoters, Directors, or Key Managerial Personnel. However, it details several pending matters, including information seeking notices from police and investigative agencies, pending cases under the Negotiable Instruments Act, and various notices from statutory bodies like the MCA, EPFO, and the Assistant Drug Controller. Furthermore, it discloses pending proceedings involving directors and various civil and other litigation matters concerning the Company and its subsidiaries.

The section details various litigation and tax proceedings involving the Company and its group companies across different assessment years. This includes numerous direct and indirect tax claims, reassessment proceedings, penalty proceedings, and disputes related to input tax credit claims under GST. Several matters are currently pending before various tax authorities, including appeals and further proceedings.

The provided section details numerous past and pending litigation, tax proceedings, and regulatory actions involving the Company and its subsidiaries across various financial years. These include multiple disputes concerning tax demands, discrepancies in E-way bills, low value declarations for customs, and issues related to input tax credit and payment irregularities. Furthermore, the text lists various material approvals, licenses, and registrations obtained by the Company and its domestic material subsidiaries.

The section details various registrations and approvals related to the Company and its subsidiaries across different jurisdictions, including India, Brazil, Thailand, Germany, Ireland, and Spain. It also lists numerous intellectual property rights, including trademarks and patents, that have been registered or applied for. Furthermore, the document outlines the definition and details of 'group companies' under SEBI ICDR Regulations, including specific financial information availability from the audited statements of these group companies, and confirms the absence of pending litigation involving the group companies.

The section details various authorizations related to the Offer, including resolutions passed by the Board and Selling Shareholders, and approvals for the Draft Red Herring Prospectus. It also includes disclaimers and confirmations regarding compliance with various regulations and the responsibility of different parties concerning the disclosures made in the prospectus.

This section primarily outlines distribution restrictions and eligibility criteria for the offer of Equity Shares, detailing who is authorized to participate in the purchase. It specifies that information will be made available to certain parties, and it includes extensive disclaimers regarding jurisdiction, the accuracy of the information, and the regulatory status of the Equity Shares, particularly concerning the U.S. Securities Act. Furthermore, it sets forth specific acknowledgments that prospective purchasers must make regarding their authorization and their intent not to engage in certain selling efforts.

The provided section primarily details various disclaimers and permissions granted by stock exchanges (BSE and NSE) for the use of the company's name in the Draft Red Herring Prospectus. It outlines the limitations of these permissions, stating that the exchanges do not warrant the correctness or completeness of the document's contents or guarantee the securities' listing or continued listing. Furthermore, the text specifies that the National Stock Exchange of India Limited (NSE) will be the Designated Stock Exchange for finalizing the Basis of Allotment. It also covers provisions regarding the timely completion of formalities for listing and trading, including penalties for delays, and details various consents obtained from legal, financial, and expert professionals.

This section details the performance of past Initial Public Offerings (IPOs) handled by different merchant banking firms over various financial years. It provides statistics on the number and amount of funds raised, categorized by how the IPOs traded relative to their listing price within 30 and 180 calendar days. The data is presented for the financial years 2024-2025 and 2025-2026, with specific notes regarding the calculation methodology and the transfer of merchant banking business.

This section details various aspects related to the offer process, including the track record of Book Running Lead Managers, procedures for investor grievance redressal, and the legal framework governing the offer. It outlines the retention period for records with the Registrar, the channels through which bidders can contact the company for various issues, and the liability concerning delays in fund unblocking. Furthermore, it specifies compensation mechanisms for various scenarios related to UPI mechanism issues and the process for resolving investor grievances.

The provided section details various procedural aspects related to the offer, including requirements for nominee nominations, the company's right to withdraw the offer, and the timeline for various events such as the opening, closing, and commencement of trading. It also outlines specific rules regarding the handling of bid amounts, compensation for delays in fund unblocking, and the process for handling different categories of bidders (QIBs, NIBs, RIBs, and Eligible Employees).

This section details various aspects of the offer procedure, including the allocation of equity shares to different investor categories (QIBs, NIBs, RIBs), the mode of bidding (ASBA and UPI mechanisms), and the eligibility criteria for bidders. It outlines specific rules regarding bid sizes, the allocation of portions of the offer to domestic Mutual Funds and Life Insurance/Pension Funds, and the procedures for handling bid submissions and potential delays.

The section details various procedural and regulatory aspects related to the Book Building Process for the offer, including rules under the SCRR and SEBI ICDR Regulations. It outlines allocation rules for different investor categories such as QIBs, Anchor Investors, Mutual Funds, NIBs, and RIBs, specifying proportions and conditions for allocation. Furthermore, the text discusses compliance requirements for bidders regarding PAN linkage, the trading segment for equity shares, and various phases and implications of the Unified Payments Interface (UPI) mechanism for public issues, including timelines for listing. It also covers procedures for handling investor grievances and the process for electronic registration and submission of bids.

This section details various restrictions and conditions related to investment participation in the offer, primarily concerning different categories of bidders such as NRIs, FPIs, various institutional investors, and employees. It outlines specific rules regarding the payment currency, the structure of bids from different entities (like HUFs and FPIs), and compliance with various regulations from FEMA and SEBI. Furthermore, it specifies rules for dealing with derivative instruments, investment limits for different investor groups, and procedures for handling bids from various corporate bodies and funds.

This section details various stipulations regarding the locking period for equity shares allotted to Anchor Investors, the pricing mechanism based on the Offer Price compared to the Anchor Investor Allocation Price, and restrictions on who can participate in the Anchor Investor category. It also outlines numerous rules and instructions for bidders, covering aspects such as bid revisions, submission methods (like ASBA and UPI), compliance with various regulatory requirements concerning documentation, fund blocking, and the use of various bank accounts and UPI IDs.

This section details various procedural requirements and restrictions related to the bid and allotment process, including issues with bid forms, timing for bid uploads, and rules concerning foreign investment. It outlines conditions for bid rejection based on non-compliance with various instructions and specifies procedures for handling delays in unblocking funds. Furthermore, it discusses the regulatory framework for foreign investment in Indian securities, including provisions related to land border countries and the need for government approval.

This section serves as a disclaimer stating that the information provided is for the benefit of the Bidders. It further clarifies that the Company, the Selling Shareholders, and the Book Running Lead Managers are not responsible for any subsequent amendments or modifications to applicable laws or regulations after the date of the Red Herring Prospectus. Bidders are advised to conduct their own investigations and ensure that the number of Equity Shares bid does not surpass the limits set by laws or regulations.

This section summarizes related party transactions for the company for the three months ended June 30, 2026, and for the financial years ended March 31, 2026, March 31, 2025, and March 31, 2024. The disclosed transactions involve various related parties, including entities under common control, directors, key management personnel, and employees. Transactions include purchases of goods, expenses, reimbursements, loans, and various forms of remuneration. The data is presented across different time periods showing the percentage of revenue from operations for each transaction type.

This section details various related party transactions involving key management personnel and directors, categorized by the nature of the relationship and the type of compensation or payment. Transactions include remuneration for key management personnel and directors, sitting fees for certain directors, and share-based payment expenses. Some transactions involve advances given and repaid. The disclosures specify the period over which these transactions occurred, referencing different fiscal years and future periods.

This section primarily details the various financial and legal intermediaries involved in the offering process, including bankers, syndicate members, and the filing procedures for the Draft Red Herring Prospectus. It lists numerous entities such as Deloitte Haskins & Sells LLP, various banks (like Kotak Mahindra Bank Limited and Axis Bank Limited), and financial services firms (like Motilal Oswal Financial Services Limited). Furthermore, it outlines the responsibilities allocated among Book Running Lead Managers (BRLMs) for different aspects of the offering, such as drafting documents, marketing, and post-offer activities. The text also specifies various expert opinions received from different chartered accountants and legal advisors.

The section primarily discusses the consent obtained from certain individuals to be included as 'experts' in the prospectus, specifically mentioning Dr. P.J Gandhi and Obhan Mason. It also details the process for the book-building, including how bids are collected and the determination of the offer price. Furthermore, the text outlines various restrictions and procedures related to the bidding process, such as mandatory participation through the ASBA process for most bidders, and the conditions under which bids can be revised or withdrawn. Finally, it covers the intent to enter into an underwriting agreement with underwriters for the equity shares.

The company has eight directors on its Board, consisting of one Executive Director, three Independent Directors, and four Non-Executive Directors, in compliance with corporate governance norms. The Board composition details include the names, designations, and tenure of the directors. Key personnel include the Chairperson and Non-Executive Director, the Managing Director and Chief Executive Officer, and the Chairman Emeritus and Non-Executive Director, along with several Independent Directors and Non-Executive Directors.

This section details various aspects of the company's governance, including director interests, related party transactions, and the structure of various Board committees. It specifies that certain directors may be deemed interested in transactions involving entities within the Promoter Group or in equity shares that might be subscribed by them. Furthermore, it outlines the composition and functions of the Audit Committee and the Nomination and Remuneration Committee, which are tasked with overseeing financial reporting, director qualifications, and remuneration policies.

The document outlines various committees and their functions, including the Nomination and Remuneration Committee, the Stakeholders’ Relationship Committee, the Corporate Social Responsibility Committee, and the Risk Management Committee. Key personnel such as Abhishek Rajendrakumar Kabra, Sonalika Girdharilal Dhar, and Bhargav Dhirajlal Kotadia are listed as members or chairpersons for these bodies. Key Managerial Personnel include Amit Kumar Khandelia (Chief Financial Officer), Deepshikha Singhal (Company Secretary and Compliance Officer), and Senior Management such as Abhijeet Singhvi (Chief Technology Officer), Anil Suri (Chief Commercial Officer), Piyush Savalia (Chief Strategy Officer), and Girish Kewalramani (Chief Information Officer).

The management section details various key personnel, including medical, HR, quality, and corporate operations roles, along with their professional backgrounds and remuneration details. Krishnankutty Sudhir is the Chief Medical Officer and has a long history in the medical industry. Russell Rozario is the Senior Vice President – Human Resources, and Manoj Kumar Jain is the Senior Vice President – Quality & Regulatory Affairs. The text also covers changes in key managerial personnel over the last three years and various disclosures regarding compensation and related party transactions.

The company's promoters include Bhargav Dhirajlal Kotadia, Dhirajlal Vallabhbhai Kotadia, Priyanka Dhirajlal Cohen, and Shree Hari Trust. Collectively, these promoters hold 36.71% of the pre-Offer issued equity shares. Details regarding the individual promoters, including their residency and professional details, are provided, with further information available in other sections. The promoters are not involved in other ventures in the same line of business as the company. The Shree Hari Trust was formed by the late Vallabhbhai Kotadia and is governed by a trust deed. The current trustees of the trust are Harivadan Pandya, Kishor Dudhat, and Rajeshkumar Shah, and they do not have control rights over the company's board appointments. Various confirmations were made regarding the submission of promoter details to stock exchanges and assurances that the promoters and the promoter group have not faced adverse regulatory actions.

This section discusses the policy for declaring and paying dividends on equity shares, which will be recommended by the Board to shareholders for approval in the Annual General Meeting, subject to various legal provisions. The Board retains the absolute power to declare interim dividends in compliance with the Companies Act. The factors considered for dividend declaration include internal factors such as cash flow position, earning stability, growth plan, borrowing, working capital requirements, accumulated reserves, and transfer to statutory reserves. External factors considered include business cycles, the economic environment, government regulations, taxation, inflation rates, and the cost of raising funds. The text cautions bidders against relying on past dividend payments as an indicator of future performance or investment prospects, and states there is no guarantee of future dividend declarations or payments. Furthermore, the company has not declared or paid any dividends during the last three fiscal years, the three months ended June 30, 2026, and from July 1, 2026 up to the date of the Red Herring Prospectus.