Healthcare provider Dr Agarwal’s Health Care's initial public offer (IPO) entered a second day of bidding on Thursday, January 30. The IPO, estimated to be worth Rs 3,027 crore, is a combination of fresh issuance of Rs 300 crore and an offer for sale (OFS) of Rs 2,727 crore. On the first day, the issue registered a total subscription of 7 per cent, with bids for 38.2 lakh shares as against the 5.35 crore shares on offer, according to provisional exchange data.
Also on the first day of the three-day bidding process, the portions reserved for non-institutional investors and retail investors were subscribed 6 per cent and 11 per cent, respectively, while no bids were received in the qualified institutional buyers (QIBs) category, according to the data.
Here are 5 key things to know about the Dr Agarwal's Health Care IPO:
Important Dates: The issue opened for subscription on Wednesday and will close on Friday. Bidding will continue to be available between 10 am and 5 pm till Friday.
Issue Price: Under the IPO, shares are available for bidding between Rs 382 and Rs 402.
Lot Size: Bids can be placed in lots of 35 equity shares.
Listing Date: The stock is likely to be listed tentatively on February 5.
Company Profile: The company offers a wide range of eye-care services, including cataract and refractive surgeries, consultations, diagnoses, non-surgical treatments. It also retails optical products, contact lenses, accessories, and a host of pharmaceutical items.
Should you apply for Dr Agarwal’s Health Care IPO? Here's what market guru Anil Singhvi thinks
According to Zee Business Managing Editor Anil Singhvi, only high-risk investors should consider subscribing to the issue.
He has identified the following key points about the market-bound company:
Positive
- It's promoters are experienced and professional.
- The company has a strong brand and a leadership position in the market.
- Its business runs on an asset-light model.
- The company has reputed anchor investors.
Negative
- There are low entry barriers to the business.
- The segment is full of intense competition.
- Despite being an old company, its business growth has picked up only recently.
- The fresh issue portion is quite small in comparison to the OFS.
- Its valuation looks expensive versus industry peers.
Prior to the launch of the IPO, the healthcare company garnered Rs 875.5 crore from anchor investors.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES

Retirement Planning: How one-time investment of Rs 10,00,000 can create Rs 3,00,00,000 retirement corpus

New Tax Regime vs Old Tax Regime: How much tax will you pay if your annual income is Rs 5 lakh, Rs 9 lakh, Rs 13 lakh, Rs 19 lakh, and Rs 25 lakh?

Power of Rs 8,000 SIP: In how many years you can build Rs 9 crore corpus with just Rs 8,000 monthly investment

Monthly Salary Calculations: Is your basic salary Rs 24,500, Rs 53,000, or Rs 81,100? Know how much total salary central government employees may get

444-Day Special FDs: How much will you earn by investing Rs 5 lakh and Rs 7 lakh in SBI, Indian Overseas Bank, and Federal Bank fixed deposit schemes?

Power of Compounding: How long it will take to build Rs 8 crore corpus with Rs 7,000, Rs 11,000 and Rs 16,000 monthly investments
10:17 AM IST