ASG Eye Hospital hires bankers for IPO; Issue size seen around INR 3,900 crore
Private equity-backed ASG Hospital has appointed a clutch of investment banks to steer its IPO, as the fast-expanding eye-care chain readies to tap public markets amid strong investor interest in healthcare services. According to a report, the mandate includes Morgan Stanley, Axis Capital, HSBC and Nomura. ASG Eye IPO could raise about INR 3,000–4,000 crore (USD 500–600 million).
ASG Eye IPO Mandate & Size
The IPO is being lined up with an indicative timeline in FY27, according to the report. Valuation discussions have pegged the company near USD 3.4 billion (~INR 30,800 crore) with an estimated 15% equity dilution, though final contours will depend on regulatory filings and investor feedback. The company has not made a formal submission to SEBI yet.
ASG is backed by General Atlantic and Kedaara Capital, which together led an INR 1,500 crore investment in 2022, joining existing shareholder Foundation Holdings; Investcorp exited as part of that round. The chain has also used acquisitions to scale—most notably Vasan Eye Care in 2023 through insolvency proceedings—and recently announced plans to merge with Sharp Sight to deepen its northern market presence.
Footprint and Capex
ASG Eye Hospital today operates over 175 hospitals and around 200 vision centres across more than 90–95 cities. Management has outlined capital expenditure of INR 1,500–2,000 crore through 2030 to expand to 600–700 centres, combining 5–7 new centres annually with 8–10 targeted acquisitions to build regional depth. “Vision 2030 is fundamentally about market disruption through impact,” Managing Director Dr Arun Singhvi said in December.
In an interaction last month, Singhvi also indicated the business expects to close the current fiscal with about INR 1,500 crore in revenue, up from INR 1,142 crore the previous year—roughly a 31% year-on-year rise—underscoring steady demand recovery and network additions.
Outlook
With lead managers in place, ASG is expected to firm up issue structure and timing, including the split between fresh issuance and any secondary sale by existing shareholders. The company’s plan remains contingent on approvals and market windows.
ASG Eye IPO Highlights
- Proposed IPO size: about INR 3,000–4,000 crore in FY27, market conditions permitting.
- Bookrunners: Morgan Stanley, Axis Capital, HSBC, Nomura; Motilal Oswal is also named.
- Indicative valuation: around USD 3.4 billion; potential dilution near 15%, per people familiar.
- Backers: General Atlantic and Kedaara Capital led an INR 1,500 crore round in 2022; Foundation Holdings remains an investor.
- Footprint: 175+ hospitals and ~200 vision centres; plan to scale to 600–700 by 2030 with INR 1,500–2,000 crore capex.
- M&A: Acquired Vasan Eye Care in 2023; announced Sharp Sight merger to strengthen North India presence.
- Recent performance: FY26 revenue guided at ~INR 1,500 crore vs INR 1,142 crore in FY25.
Conclusion
ASG Eye’s move to hire a top-tier syndicate signals that India’s eye-care consolidation story is headed for public markets. Execution on centre additions, integration of recent acquisitions and disciplined pricing at listing will be key to how the offer lands with investors when it eventually hits the Street.
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