ICICI Prudential Mutual Fund Increases Holdings in Healthcare Firm

ICICI Prudential Mutual Fund Raises Stake in Rainbow Childrens Medicare

Investment Highlights

• ICICI Prudential Mutual Fund has increased its stake in Rainbow Childrens Medicare to over 5% through the acquisition of 1,60,949 additional shares on March 19.
• The fund's stake in Rainbow Childrens Medicare now stands at 5.08%.
• The acquisition was made through the open market via ICICI Prudential Mutual Fund's various equity schemes.

Company Overview

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• Rainbow Childrens Medicare is a leading pediatric multi-specialty and perinatal care hospital chain in India.
• As of the December-ended quarter, promoters own a majority stake of 49.8% in the company.
• Foreign Institutional Investors (FIIs) and Domestic Institutional Investors (DIIs) hold 19.2% and 19.5% stakes, respectively.
• The remaining 11.4% stake is held by general public shareholders.

Stock Performance

• Rainbow Childrens Medicare shares have been trending lower since July 2025, with a decline of 33% from the July 2025 high of ₹1,645.
• The stock has closed seven out of nine months in the negative zone, including March.
• Despite the recent correction, the stock's three-year return remains positive at 51.50%.

Financials

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• Rainbow Childrens Medicare reported a net profit of ₹74 crore in Q3, slightly higher than the ₹69 crore reported in the same period last year.
• Revenue from operations during the reporting quarter came in at ₹445 crore, higher than the ₹398 crore posted in the December 2024 quarter.