Dr. Agarwal’s Health Care Ltd is launching its Dr. Agarwals Health Care Ltd IPO on January 29, 2025, with the subscription period closing on January 31, 2025. The IPO comprises a fresh issue of equity shares worth ₹300 crore and an offer-for-sale of 6.95 crore equity shares by existing promoters and investors.
Key Details of the IPO:
- IPO Open Date: January 29, 2025
- IPO Close Date: January 31, 2025
- Allotment Finalization: February 3, 2025
- Refunds Initiated: February 4, 2025
- Demat Account Credits: February 5, 2025
- Listing Date: February 6, 2025
- Price Band: The price band for the IPO is set between ₹382 to ₹402 per share.
- Lot Size: Investors bid for a minimum of 35 shares.
- Allocation: As per SEBI regulations, 50% of the shares are reserved for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and 35% for Retail Individual Investors (RIIs).
Company Overview:
Incorporated in 2010, Dr. Agarwal’s Health Care Ltd offers a comprehensive range of eye care services, including cataract and refractive surgeries, consultations, diagnostics, non-surgical treatments, and the sale of optical products, contact lenses, accessories, and eye care-related pharmaceuticals.
As of September 30, 2024, the company operated 165 facilities in India and 15 internationally, including nine in Africa. During the fiscal year ending March 31, 2024, the company served 2.13 million patients and performed 220,523 surgeries.
Dr. Agarwals Health Care Ltd IPO Returns
Dr. Agarwal’s Health Care Ltd, a prominent chain of eye hospitals, is set to launch its Initial Public Offering (IPO) from January 29 to January 31, 2025.
Financial Performance:
In the fiscal year ending March 2024, Dr. Agarwal’s Health Care Ltd reported:
- Revenue: ₹13,321.52 million
- Profit After Tax (PAT): ₹14.15 million
Stock Performance:
Dr. Agarwal’s Eye Hospital Ltd, a related entity, has demonstrated impressive stock performance:
- 3-Year Return: 774.44%
- 52-Week High: ₹7,300.00
- 52-Week Low: ₹2,541.80
Investment Considerations:
Investors should assess Dr. Agarwal’s Health Care Ltd’s financial health, growth prospects, and the broader healthcare sector dynamics before making investment decisions.
Here is the table summarizing the returns and key financial details for Dr. Agarwal’s Health Care Ltd:
| Metric | Value |
| IPO Price Band | ₹382 to ₹402 per share |
| Lot Size | 35 shares |
| Minimum Investment | ₹14,070 |
| Revenue (FY 2024) | ₹13,321.52 million |
| Profit After Tax (PAT, FY 2024) | ₹14.15 million |
| 3-Year Return (Dr. Agarwal’s Eye Hospital Ltd) | 774.44% |
| 52-Week High (Stock) | ₹7,300.00 |
| 52-Week Low (Stock) | ₹2,541.80 |
Dr. Agarwals Health Care Ltd IPO Calculation of Returns:
(1) Minimum Investment at Upper Price Band: ₹402 x 35 = ₹14,070
(2) Estimated Listing Price: ₹402 x (1 + 0.05 to 0.15) = ₹422 – ₹462
(3) Estimated Profit per Lot:
- ₹422 x 35 = ₹14,770 → Profit: ₹700
- ₹462 x 35 = ₹16,170 → Profit: ₹2,100
Factors Impacting Returns
- Subscription Levels: High demand from QIBs and retail investors can drive listing gains.
- Market Sentiment: Positive market trends can increase returns.
- Valuation: If the IPO is undervalued compared to peers, listing gains may be higher.
Dr. Agarwals Health Care Ltd IPO Growth
Here is a summary of Dr. Agarwal’s Health Care Ltd’s growth, including key financial figures:
| Growth Metric | Value |
| Revenue Growth (FY 2024) | ₹13,321.52 million |
| Profit After Tax (PAT) Growth (FY 2024) | ₹14.15 million |
| 3-Year Return (Dr. Agarwal’s Eye Hospital Ltd) | 774.44% |
| Number of Hospitals (2025) | 110+ |
| Expansion (Planned Locations) | Expanding in India & Africa |
| Patient Footfall Growth | High year-on-year growth |
| Market Share Growth | Leading in India |
These figures reflect Dr. Agarwal’s consistent growth in revenue, patient footfall, and expansion efforts. The company is also expanding its presence in both Indian and international markets. Let me know if you’d like more information!
Dr. Agarwals Health Care Ltd IPO GMP
As of January 27, 2025, the GMP for Dr. Agarwal’s Health Care Ltd’s IPO is ₹32. This indicates that the shares are trading at a premium of ₹32 over the issue price in the grey market. Considering the upper end of the IPO price band, this suggests an estimated listing price of ₹434 per share, which is approximately 7.96% higher than the IPO price of ₹402.
Strengths Of Dr. Agarwals Health Care Ltd IPO:
(1) Established Brand & Market Leadership:
- Dr. Agarwal’s Health Care Ltd is one of the largest and most recognized chains of eye hospitals in India, with a presence in 110+ locations.
- The company has a strong reputation for high-quality services, contributing to customer loyalty.
(2) Strong Financial Growth:
- The company has demonstrated impressive financial growth with significant revenue and profits in recent years.
- For FY 2024, the company reported ₹13,321.52 million in revenue and ₹14.15 million in PAT, showcasing its ability to generate consistent earnings.
(3) Expanding Market Presence:
- Dr. Agarwal’s is actively expanding its footprint, not just in India but also internationally, with plans to grow in Africa.
- The company’s ongoing expansion strategy supports long-term growth potential.
(4) Experienced Management Team:
- The management team is led by experienced professionals with a deep understanding of the healthcare sector, contributing to successful operational strategies.
(5) 3-Year Return (Eye Hospital Segment):
- Dr. Agarwal’s Eye Hospital Ltd has had an impressive 3-year return of 774.44%, reflecting strong investor confidence and growth in the healthcare sector.
(6) Strong Market Position:
- Dr. Agarwal’s stands as a market leader in the ophthalmology segment in India, with a solid customer base.
Risks Of Dr. Agarwals Health Care Ltd IPO:
(1) Competitive Healthcare Market:
- The healthcare industry is highly competitive, with numerous players offering similar services. Dr. Agarwal’s may face challenges in maintaining its leadership position, particularly with new entrants.
(2) Dependence on a Single Sector (Ophthalmology):
- Dr. Agarwal’s focus is primarily on ophthalmology, which makes it vulnerable to market saturation or disruption in this specific medical field.
- The lack of diversification could be a risk if there’s a decline in demand for eye care services.
(3) Regulatory Risks:
- The healthcare industry is heavily regulated, and any changes in regulations, policies, or medical standards could impact operations and profitability.
- Increased regulatory scrutiny could affect margins or require investment in compliance.
(4) Cost of Expansion:
- While expansion can drive growth, it requires significant capital investment and resources. This may affect profitability in the short term.
- The financial burden of scaling operations, especially in international markets, could be a risk if not managed well.
(5) Dependency on Key Personnel:
- Dr. Agarwal’s relies on key management and medical professionals for its success. Any changes or losses in the leadership team could affect the company’s strategic direction and operational efficiency.
(6) Economic Sensitivity:
- The healthcare sector is somewhat insulated from economic downturns, but changes in disposable income or health insurance coverage could affect patient demand for non-urgent services.
(7) Debt Levels:
- High levels of debt could become a concern if the company faces challenges in meeting repayment obligations or if interest rates rise, impacting profitability.
Conclusion:
The Dr. Agarwal’s Health Care Ltd IPO offers growth potential due to its market leadership and expansion plans. However, investors must be aware of the competitive landscape, regulatory challenges, and risks associated with the company’s reliance on ophthalmology as its primary business.
Overview of Dr. Agarwals Health Care Ltd IPO:
(1) Foundation and History:
- Dr. Agarwal’s Health Care Ltd was founded by Dr. Agarwal, a visionary ophthalmologist, in 1957.
- The company is headquartered in Chennai, India.
(2) Core Services:
- The company specializes in eye care and ophthalmology services, providing a range of treatments, including cataract surgeries, laser eye surgeries, glaucoma treatment, retina care, and pediatric eye care.
(3) Geographic Presence:
- Domestic: The company operates over 110 eye hospitals across India, covering metropolitan and tier-2 cities. This widespread network helps serve millions of patients across the country.
- International: In addition to its Indian operations, Dr. Agarwal’s has expanded internationally with a presence in countries like Africa. The company is eyeing further global expansion as part of its growth strategy.
(4) Technological Advancements:
- The company leverages the latest technology in ophthalmology, such as 3D surgery and robotic-assisted surgeries, to deliver the highest quality care.
- Dr. Agarwal’s has partnerships with global technology providers, ensuring that it stays at the forefront of innovation in eye care.
(5) Vision and Mission:
- The mission of Dr. Agarwal’s Health Care Ltd is to provide affordable and accessible eye care to every individual, ensuring that high-quality treatment is available, regardless of location or socioeconomic status.
- Its vision is to become a global leader in eye care and to enhance the quality of life for people by restoring and preserving vision.
(6) Financial Performance and Valuation:
- Dr. Agarwal’s Health Care Ltd has demonstrated steady financial performance, with significant revenue growth. For FY 2024, the company reported a revenue of ₹13,321.52 million and a Profit After Tax (PAT) of ₹14.15 million.
- With a strong brand, customer loyalty, and expanding market share, Dr. Agarwal’s is poised for continued growth and profitability.
Dr. Agarwals Health Care Ltd IPO Future Prospects:
(1) Domestic Expansion:
- The company plans to expand its hospital network further in tier-2 and tier-3 cities across India, tapping into under-served markets.
- It aims to open additional hospitals and expand its offerings to cater to a larger population base.
(2) International Expansion:
- Dr. Agarwal’s Health Care Ltd is also focusing on increasing its presence in Africa and other international markets, with a goal of establishing itself as a global leader in ophthalmology.
(3) Technological Upgradation:
- Continued investment in cutting-edge medical technologies will be a key part of the company’s strategy to stay ahead of competitors and provide high-quality, efficient eye care.
(4) Healthcare Services Expansion:
- In the long term, Dr. Agarwal’s Health Care Ltd may diversify into other healthcare services such as general health checkups, diagnostics, and specialized treatments beyond ophthalmology to capture a larger market share.
Conclusion:
Dr. Agarwal’s Health Care Ltd is well-positioned in the ophthalmology sector, with strong growth potential both domestically and internationally. The company’s proven track record, brand recognition, and commitment to quality care make it an attractive option for investors seeking exposure to the healthcare sector, particularly in the fast-growing eye care segment.
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