Dr. Agarwal’s Health Care Limited
Dr. Agarwal’s Health Care Limited
AGARWALEYE
₹14,070/-
Min. Investment
35/- Shares
IPO Listing Details
Listed On
04-Feb-25
Issue Price
₹402.00
Listing Price
₹ 402.00
Listing Gains
₹ 0.00 (+0%)
Min. Investment
₹14,070 /-
Apply Dates Range
29-Jan-25 – 31-Jan-25
Price Range
₹382 – ₹402
Lot Size
35
Issue Size
₹3,027.26Cr
Dr. Agarwal’s Health Care Limited
Dr. Agarwal’s Health Care Limited’s IPO, detailed in its Red Herring Prospectus dated January 23, 2025, raised ₹3,027.26 crore, comprising a ₹300 crore fresh issue and ₹2,727.26 crore offer for sale. Priced at ₹382–₹402 per share (finalized at ₹402), it opened for subscription from January 29–31, 2025, with a lot size of 35 shares, requiring a minimum retail investment of ₹14,070. Listed on BSE and NSE on February 4, 2025, it debuted flat at ₹402 (NSE) and ₹396.90 (BSE), yielding no significant listing gains. Proceeds aim to repay ₹195 crore in debt and fuel expansion.
| Founded In | April 19, 2010 |
| Industry Type | Healthcare |
| Managing Director | Dr. Adil Agarwal |
| P/E Ratio (post) | 134 |
| Price-to-Sales Ratio | — |
| EBITDA | ₹362.3Cr |
| Return on Equity | — |
| Revenue Growth | 11.5% CAGR |
| Earnings per Share | ₹3.00 |
| Free Cash Flow | — |
| Debt-to-Equity Ratio | — |
Read More…
The company’s operational network is extensive, comprising 221 facilities as of Q3 FY25, including 209 in India across 13 states and three union territories, and 16 international centers in nine African countries. This hub-and-spoke model includes 26 tertiary facilities (super-specialty centers), 139 secondary facilities (spokes), and three centers of excellence, ensuring scalable and accessible eye care. Services range from cataract and refractive surgeries to glaucoma management, retinal treatments, pediatric ophthalmology, and neuro-ophthalmological care. Additionally, it retails optical products, contact lenses, and eye care pharmaceuticals, catering to diverse patient needs. In the six months ending September 30, 2024, Dr. Agarwal’s served 1.15 million patients and performed 140,787 surgeries, reflecting its significant scale.
Founded by the Agarwal family, the company’s promoters include Dr. Amar Agarwal, Dr. Athiya Agarwal, Dr. Adil Agarwal (CEO), Dr. Anosh Agarwal (COO), Dr. Ashvin Agarwal, Dr. Ashar Agarwal, and various family trusts, alongside entities like Dr. Agarwal’s Eye Institute. It holds a 71.90% stake in its subsidiary, Dr. Agarwal’s Eye Hospital Limited, established in 1994. The leadership team is supported by a board featuring independent directors like Sanjay Dharambir Anand and Balakrishnan Venkatraman, and nominee directors from key investors TPG (33.75% stake) and Temasek (28.18%), who backed the company pre-IPO.
Financially, Dr. Agarwal’s has shown robust growth. Revenue from operations rose from ₹696.08 crore in FY22 to ₹1,332.15 crore in FY24, with a CAGR of 11.5% in the eye care sector from FY19–FY24. FY24 EBITDA stood at ₹362.3 crore (27.2% margin), though profit after tax dipped to ₹95.05 crore from ₹103.23 crore in FY23 due to tax expenses. For 9M FY25, revenue reached ₹1,250.8 crore (up 27.2% YoY), and EBITDA was ₹356 crore (up 27.5% YoY), with Q3 FY25 revenue at ₹431–443 crore (28.6% YoY growth). Debt as of Q3 FY25 was ₹360 crore, with ₹195 crore of IPO proceeds allocated for repayment.
The ₹3,027.26 crore IPO, launched January 29–31, 2025, comprised a ₹300 crore fresh issue and ₹2,727.26 crore offer for sale, listing on February 4, 2025, at ₹402 (NSE) and ₹396.90 (BSE). Despite a flat debut, the company’s strong fundamentals and expansion plans—12 new facilities in Q3 FY25—position it for long-term growth in a market projected to reach ₹55,000–65,000 crore by FY28. With accreditations like NABH and innovative surgical techniques, Dr. Agarwal’s continues to lead India’s eye care landscape.
Shareholding Pattern
| Category | Before IPO % (pre-issue) | After IPO % (post-issue) |
|---|---|---|
| Promoters | 37.83% | 24.58% |
| Promoter’s Group | — | — |
| Public | 62.17% | 75.42% |
| Total | 100.00% | 100% |
Promoter Holding Details
Total Promoter Holding: Dr. Agarwal’s Health Care Limited’s promoters held 37.83% pre-IPO, owning ~9.13 million shares. Post-IPO (February 2025), their stake dropped to ~24.58% (~7.77 million shares) after selling ~1.36 million shares via OFS. Key promoters include Dr. Amar Agarwal, Dr. Adil Agarwal, and family trusts.
| Promoter | Shares | Equity % |
|---|---|---|
| Dr. Amar Agarwal | ~1,900,000 | ~6.01% |
| Dr. Adil Agarwal | ~2,700,000 | ~8.55% |
| Total (Promoters) | ~7,768,402 | ~24.58% |
Pros
Market Leadership: Holds a 25% share in India’s organized eye care service chain market (FY24), generating ₹1,332.15 crore in revenue, nearly double its closest competitor, per CRISIL MI&A (RHP, Page 1).
Extensive Network: Operates 209 facilities (193 in India, 16 in Africa) across 14 states, 4 union territories, and 9 countries, using a scalable hub-and-spoke model (RHP, Page 12).
Strong Revenue Growth: Revenue grew at a 38% CAGR from FY22 (₹696.08 crore) to FY24 (₹1,332.15 crore), with a stable 27% EBITDA margin.
Clinical Excellence: Employs 737 doctors, performed 220,523 surgeries in FY24, and holds two patents for innovative techniques (RHP, Page 17).
Accredited Operations: Facilities have NABH accreditation, enhancing trust and quality perception.
Cons
High Valuation: IPO priced at a P/E of 133.6x (FY24 EPS ₹3 at ₹402), significantly above peers like Apollo Hospitals (82x), raising overvaluation concerns.
Dependence on Skilled Workforce: High reliance on ophthalmologists with a 12.52% attrition rate in FY24, risking service consistency.
Regional Concentration: Operations heavily skewed towards South India (e.g., Tamil Nadu, Karnataka), limiting geographic diversification.
Profit Margin Pressure: FY24 net profit dipped 7.9% to ₹95.05 crore from ₹103.23 crore in FY23 due to expansion costs and taxes.
Regulatory Risks: Subject to stringent healthcare regulations; compliance failures could disrupt growth.
Most Ask Questions?
What is the IPO size of Dr. Agarwal’s Health Care Limited?
The IPO raised ₹3,027.26 crore, including a ₹300 crore fresh issue and ₹2,727.26 crore offer for sale (OFS) (RHP, Page 6).
When did the IPO open and close?
It opened on January 29, 2025, and closed on January 31, 2025 (RHP, Page 2).
What was the IPO price band?
The price band was ₹382–₹402 per share, with the final issue price set at ₹402.
What was the listing performance?
Listed on February 4, 2025, at ₹402 (NSE, flat) and ₹396.90 (BSE, -1.27% loss), yielding no significant gains.
What is the company’s main business?
It provides comprehensive eye care services (cataract, refractive surgeries, consultations) and sells optical products, operating 209 facilities (RHP, Page 12).
How was the IPO subscription?
Subscribed 1.55 times overall; QIB: 4.64x, Retail: 0.41x, NII: 0.39x
DISCLAIMER: No financial information whatsoever published anywhere here should be construed as an offer to buy or sell securities, or as advice to do so in any way whatsoever. All matter published here is purely for educational and information purposes only and under no circumstances should be used for making investment decisions. Readers must consult a qualified financial advisor before making any actual investment decisions, based on the information published here. My reviews do not cover GMP market and operators game plans. Any reader taking decisions based on any information published here does so entirely at their own risk. Investors should bear in mind that any investment in stock markets is subject to unpredictable market-related risks. The above information is based on RHP and other documents available as of date coupled with market perception. The author has no plans to invest in this offer. The author has no business relationship with any company whose stock is mentioned in this article.