Fri Jan 31 19:29:01 IST 2025: ## Dr. Agarwal’s Healthcare IPO Oversubscribed on Final Day

**Mumbai, January 31, 2025** – The initial public offering (IPO) of Dr. Agarwal’s Healthcare Ltd., India’s largest eye care chain by revenue, concluded today, significantly oversubscribed at 1.55 times. The IPO, which opened on January 29th, saw bids for 8,32,18,380 shares against the 5,35,26,172 shares on offer, according to the Bombay Stock Exchange (BSE).

While the retail investor portion received a 41% subscription and the non-institutional investor quota reached 40%, Qualified Institutional Buyers (QIBs) significantly oversubscribed the offering at 4.64 times. Employee and shareholder portions were subscribed at 27% and 52% respectively.

The company aimed to raise ₹3,027.26 crore through a combination of a fresh issue of ₹300 crore and an offer for sale (OFS) of ₹2,727.26 crore. Dr. Agarwal’s Healthcare had already secured over ₹875.5 crore from anchor investors prior to the IPO. Funds from the fresh issue will primarily be used for debt repayment and general corporate purposes, including potential acquisitions.

Dr. Agarwal’s Healthcare operates 193 facilities across India, predominantly in South India (Chennai, Hyderabad, Bengaluru) and Western India, offering a comprehensive range of eye care services, including surgeries, consultations, and optical products. The company’s success is attributed to its efficient “hub-and-spoke” model and asset-light approach.

The IPO price band was set at ₹382 to ₹402 per share. While some analysts expressed concerns about the relatively high price-to-earnings ratio (PE ratio of 133.6x at the upper price band), others viewed the strong financial performance and growth potential of the company favorably, recommending a long-term investment perspective. The grey market premium (GMP) indicated a positive sentiment towards the listing.

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