Fri Jan 31 07:18:26 UTC 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., a leading Indian eye care provider backed by Temasek Holdings and TPG, concluded today after being significantly oversubscribed. While initial reports showed subscription rates fluctuating throughout the day, final figures revealed a strong investor response.
The IPO, priced between ₹382 and ₹402 per share, aimed to raise ₹3,027.26 crore. This included a fresh issue of ₹300 crore and an offer for sale (OFS) of existing shares worth ₹2,727.26 crore. The company already secured over ₹875.5 crore from anchor investors before the public offering commenced.
Funds from the fresh issue will primarily be used to repay debt (₹195 crore), with the remainder allocated to acquisitions and general corporate purposes.
Dr. Agarwal’s Healthcare boasts a network of 193 facilities across 14 states and four union territories in India, with a strong presence in South India and a growing footprint in the West. The company offers a comprehensive range of eye care services, from surgeries and consultations to optical products.
The company reported strong financial performance, with a 31% revenue increase to ₹1,332 crore in fiscal year 2024 and an improved EBITDA margin of 27.2%. However, the IPO’s valuation, at a P/E ratio of 133.6x (based on FY24 earnings), has been considered expensive by some analysts compared to its peers. Concerns were also raised about the company’s dependence on key doctors and concentration of facilities in specific regions.
Despite these concerns, the IPO saw strong demand, exceeding expectations by the end of the day. While intraday subscription levels varied, the final subscription rate significantly exceeded the initial 42% reported in the first two days. Although precise final figures were not consistently reported across the text, the strong overall response signifies robust investor confidence in the long-term growth potential of Dr. Agarwal’s Healthcare. The allotment of shares is expected to be finalized on February 3rd, with refunds and crediting of shares to demat accounts scheduled for February 4th. Listing on the BSE and NSE is anticipated for February 5th. Grey market premiums suggest an anticipated listing price above the upper end of the IPO price band.
**Disclaimer:** This news article summarizes information from various sources. Investors should conduct their own due diligence before making any investment decisions.
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