Thu Jan 30 10:30:00 IST 2025: ## Dr. Agarwal’s Healthcare IPO Receives Tepid Response
**MUMBAI, January 30, 2025** – The initial public offering (IPO) of Dr. Agarwal’s Healthcare Limited, open from January 29th to 31st, has seen a sluggish start. The ₹3,027.26 crore IPO, offering shares at ₹382-₹402, has only reached 7% subscription by the end of the first day and a mere 0.10 times subscription by the morning of the second day.
This underwhelming response has significantly impacted the grey market premium (GMP), falling from ₹10 on Wednesday to just ₹4 today. The downward trend is attributed to both the lackluster investor interest and the overall negative sentiment in the Dalal Street market.
Despite the weak early performance, financial analysts remain divided. Anand Rathi has assigned a “Subscribe – Long Term” rating, citing the company’s 25% market share in eye care and acknowledging the high valuation (134x FY24 EPS at the upper band). However, they admit the issue is “richly priced.” Adroit Financial Services also recommends subscribing, highlighting the company’s growth potential despite elevated valuations (pre-IPO PE ratio of 130.44).
The IPO consists of both fresh shares and offer for sale (OFS). Investors have until 5:00 PM on January 31st to participate. Experts advise investors to conduct thorough research and seek professional advice before investing.
First Piper 