IKS Health Sees ₹500 Crore Block Deal, Shares Drop 4% After Lock-In Ends

Shares of IKS Health, the healthcare tech firm backed by the late Rakesh Jhunjhunwala’s family, came under pressure Thursday after a massive ₹500 crore block deal hit the market. Around 30 lakh shares—about 1.75% of the company—changed hands early in the day, sending the stock down nearly 4%.

What Triggered the Sell-Off?

This large transaction came just one day after the company’s IPO lock-in period ended, freeing up more than 10 crore shares for trading. With early investors now allowed to sell, the market was bracing for a move—and it came fast.

The block deal was priced around ₹1,650–₹1,659 per share, which was slightly below the previous day’s closing price of ₹1,695. That small discount was enough to shake investor confidence, especially after the stock had already slipped nearly 9% the day before.

Who Sold the Shares?

While the buyers and sellers haven’t been officially named, reports suggest that early individual investors, possibly including some from the pre-IPO phase, were behind the move. The Jhunjhunwala family, which holds a big chunk of the company, didn’t appear to be part of this specific transaction—at least not publicly.

Stock Slips Further

The market didn’t take kindly to the heavy selling. IKS Health shares dropped to ₹1,640.55 on the BSE during the session—down about 3.7% intraday. On the NSE, it closed near ₹1,643.80, extending its two-day loss to more than 12%. The stock is now trading roughly 22% below its post-listing high of ₹2,185.

A Quick Look at the Company

IKS Health isn’t just any tech firm—it provides back-end and digital services to hospitals and clinics, mostly in the U.S. The company supports more than 750 healthcare organizations, including major names like Mass General Brigham and GI Alliance.

It made its market debut in December 2024, with a blockbuster IPO that saw subscriptions rise more than 53 times. The stock listed at ₹1,900—well above its issue price of ₹1,329—and soared to become one of the standout IPOs of the season.

A big part of the buzz came from the Jhunjhunwala connection. Three trusts linked to the family—Nistha, Aryavir, and Aryaman—own about 16.37% each, while Rekha Jhunjhunwala holds 0.23%. The family made a massive return on their investment, reportedly multiplying their stake 530 times.

Business Still Performing Well

Despite the recent stock slide, the company’s latest earnings paint a strong picture. In Q4 of FY25, IKS Health posted a 17% jump in revenue, reaching ₹724 crore. Net profit more than doubled to ₹147.8 crore, and operating margins improved to over 31%, thanks to new client wins and better cost control.

What Comes Next?

The big question now is whether this block deal was a one-off or the start of a larger wave of selling. With the lock-in expired, other early investors may follow suit. For the moment, all eyes are on how the stock stabilizes in the coming days and whether fresh buying support emerges.