Dr Agarwal’s Well being Care IPO to open on January 29: Key issues to know from the RHP earlier than you hit subscribe

Dr Agarwal’s Well being Care IPO: Dr Agarwal’s Well being Care’s preliminary public providing (IPO) is scheduled to kick off for subscription on Wednesday, January 29, and can stay open till Friday, January 31. The corporate goals to lift ₹3,027.26 crore by the providing, which is a mixture of a contemporary concern of 0.75 crore shares, aggregating to ₹300 crore and a proposal on the market of 6.78 crore shares, aggregating to ₹2,727.26 crore.

Dr Agarwal’s Well being Care IPO worth band is mounted at ₹382 to ₹402 per share. Of the overall providing, 50% is reserved for Certified Institutional Patrons (QIBs), 15% for Non-Institutional Buyers (NIIs), and 35% for Retail Buyers.

Kotak Mahindra Capital Firm Restricted, Morgan Stanley India Firm Pvt Ltd, Jefferies India Non-public Restricted, and Motilal Oswal Funding Advisors Restricted are the book-running lead managers of the Dr Agarwal’s Well being Care IPO, whereas Kfin Applied sciences Restricted is the registrar to the problem.

Retail traders can apply for at least 35 shares in a single lot and in multiples thereafter. On the higher finish of the IPO worth band, retail traders are required to make a minimal funding of ₹14,070 per lot.

The corporate plans to utilise the web proceeds from the contemporary concern to deal with a number of goals, together with the partial or full compensation or prepayment of particular borrowings, funding common company functions, and supporting potential unidentified inorganic acquisitions.

The allotment of shares for Dr Agarwal’s Well being Care IPO is predicted to be finalised on Monday, February 3, 2025. The tentative itemizing on each the BSE and NSE is scheduled for Wednesday, February 5, 2025.

Key issues to know from Dr Agarwal’s Well being Care’s RHP:

1) Concerning the Agency: Established in 2010, Dr Agarwal’s Well being Care is a number one supplier of eye care companies, providing cataract and refractive surgical procedures, consultations, diagnostic companies, non-surgical remedies, and merchandise like optical equipment, contact lenses, and prescription drugs. As of March 31, 2024, the corporate operated 165 services throughout India and 15 in Africa. By September 30, 2024, the corporate had served 2.13 million sufferers, carried out 220,523 surgical procedures, and employed 737 docs throughout its community.

2) Market Place: Dr Agarwal’s is India’s largest eye care service supplier by income for FY23, producing greater than double the income of the second-largest competitor. With a 25 per cent market share in FY24 and the very best variety of services, the corporate has established itself as a frontrunner within the eye care companies sector.

3) Monetary Efficiency: The corporate has proven robust monetary progress over the past three years. Income from operations rose to ₹13,321.52 million in FY24 from ₹10,179.80 million in FY23 and ₹6,960.78 million in FY22, reflecting progress charges of 30.86 per cent and 46.25 per cent, respectively. EBITDA grew to ₹4,065.55 million in FY24 from ₹2,838.60 million in FY23 and ₹1,998.22 million in FY22, registering sturdy progress. It additionally had the very best working revenue, PAT, and return on fairness amongst its friends in FY23, in line with the CRISIL MI&A Report.

4) Competitors: Dr Agarwal’s faces competitors from varied private and non-private services, together with ASG Hospitals, Disha Eye Hospitals, and Eye-Q Imaginative and prescient. The aggressive panorama additionally contains giant healthcare suppliers like Apollo Hospitals and Fortis Healthcare, which function in overlapping geographies. The agency competes on service high quality, affordability, expertise, and affected person satisfaction.

5) Trade Overview: India’s healthcare supply sector is predicted to develop at a compound annual progress fee (CAGR) of September 11 per cent over the following 4 years, pushed by structural components corresponding to lifestyle-related illnesses, medical tourism, and rising incomes. The non-public sector dominates the healthcare market, contributing 69 per cent of remedies by FY28.

6) Eye Care Trade: India has the biggest inhabitants of visually impaired people globally, with one in 5 experiencing imaginative and prescient problems. The attention care market, valued at ₹378 billion in FY24, has grown at a CAGR of 11.5 per cent since FY19. Cataract surgical procedures represent the biggest share of this market, whereas non-surgical companies like diagnostics and follow-ups additionally contribute considerably.

7) Management in Eye Care Providers: The corporate operates an unlimited community, with 165 services in India (spanning 13 states and 4 union territories) and 15 services in 9 African nations. Its strategic presence throughout Tier-I cities and different areas maximises affected person attain and strengthens its model visibility, making it a trusted title in eye care.

8) Growth Technique: Dr Agarwal’s plans to broaden its footprint in India by its capital-efficient hub-and-spoke mannequin. The corporate intends to deepen its presence in established clusters like Chennai, Hyderabad, and Bengaluru and discover new micro-markets. Growth selections are based mostly on components corresponding to market progress potential, competitors, and the supply of infrastructure and expertise.