Dr. Agarwal’s Health Sets IPO Price Band

Eyecare services provider Dr. Agarwal's Health Care Ltd. has set the price band for its initial public offering, due to launch next week. Investors can bid for the IPO in the range of Rs 382-402 per share, the company said in a public advertisement.

On the upper price band, Dr. Agarwal's Health Care's valuation comes at nearly Rs 12,700 crore.

The IPO will open for bidding on Jan. 29 and close on Jan. 31. The company will offer shares worth Rs 3,027.26 crore in the public issue.

Of this, the fresh issue component is worth Rs 300 crore, while the offer for sale portion by the promoter and other selling shareholders is worth Rs 2,727.26 crore.

The company proposes to utilise the net proceeds from the fresh issue towards repayment or prepayment of debt and use for general corporate purposes and unidentified inorganic acquisition.

The minimum lot size for Dr. Agarwal's Health IPO is 37 shares.

The Chennai-based company provides a comprehensive range of eye care services, including cataract, refractive and other surgeries and sells opticals, contact lenses and accessories, and eye care related pharmaceutical products.

Majority of the company's facilities are concentrated in the south particularly Chennai, Hyderabad and Bengaluru followed by western India.

Singapore investment giant Temasek Holdings and US private equity firm TPG Growth hold stake in the company.

In the last fiscal, Dr. Agarwal's Health reported a 30.86% year-on-year growth in its revenue to Rs 1,332.15 crore from Rs 1,017.98 crore. Profit after tax for the last fiscal stood at Rs 95.05 crore, down from Rs 1,032.30 crore in the year ended March 2023.

The company applied for IPO in September last year and received approval from the Securities and Exchange Board of India earlier this month.