Fri Jan 31 21:57:39 IST 2025: ## Dr. Agarwal’s Healthcare IPO Oversubscribed on Final Day

**Mumbai, January 31, 2025** – Dr. Agarwal’s Healthcare Ltd., India’s largest eye care service chain by revenue, successfully concluded its initial public offering (IPO) today, with final day subscriptions exceeding expectations. The IPO, which opened on January 29th, was oversubscribed by 1.55 times, receiving bids for 8,32,18,380 shares against the 5,35,26,172 shares on offer.

This makes Dr. Agarwal’s the only major IPO to successfully navigate the challenging market conditions of January 2025. While retail investor participation reached 41% and non-institutional investors subscribed at 40%, Qualified Institutional Buyers (QIBs) significantly oversubscribed their quota by 4.64 times. Employee and shareholder portions were subscribed at 27% and 52%, respectively.

The IPO aimed to raise ₹3,027.26 crore, comprising a fresh issue of up to ₹300 crore and an offer for sale (OFS) of up to ₹2,727.26 crore. The company had already secured over ₹875.5 crore from anchor investors. Funds from the fresh issue will be primarily used for debt repayment and general corporate purposes, with a portion allocated for acquisitions.

Dr. Agarwal’s operates 193 facilities across India, primarily in South India (Chennai, Hyderabad, Bengaluru) and also with a notable presence in Western India. The company offers a comprehensive range of eye care services, including surgeries, consultations, diagnostics, and optical products.

The IPO price band was set at ₹382 to ₹402 per share. While the high P/E ratio (128.43 times based on FY24 diluted EPS at the upper price band) raised some valuation concerns, the company’s strong financial performance and growth prospects in India’s expanding eye care market fueled investor interest. Post-IPO, the company’s market capitalization is projected between ₹12,700 crore and ₹12,900 crore. Grey market premiums further indicated strong investor sentiment.

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