ICICI Securities: HealthCare Global Enterprises’ Capital Infusion Removes Key Overhang Of High Debt 
Healthcare Global Enterprises Ltd. cancer centre. (Source: Company website)

ICICI Securities: HealthCare Global Enterprises’ Capital Infusion Removes Key Overhang Of High Debt 

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ICICI Securities Report

HealthCare Global Enterprises Ltd.’s Q1 FY21 performance weak impacted by lockdown on hospital that resulted in occupancy dropping to 32.4% versus 45.8% YoY.

Q1 FY21 revenues declined 28.0% YoY and Ebitda margin dropped 670 basis points to 10.0% largely due to the impact of pandemic.

The company has received approximately Rs 5.1 billion through preferential allotment of equity shares and equity warrants (25% amount received upfront) to Aceso Company Pte. (part of CVC group).

The company will receive additional Rs 1.4 billion upon conversion of warrants including those issued to promoters within the next 18 months.

We believe this capital infusion removes the key overhang of high leverage with repayment of debt from this fund raising exercise.

Click on the attachment to read the full report:

ICICI Securities HCG Q1FY21 Result Update.pdf

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