Dr Agarwal's Health Care IPO Day 2: Latest subscription update

Dr Agarwal's Health Care IPO, which opened for subscription on January 29, saw some improvement on the second day, as the total issue was subscribed 0.42 times. Out of the 5.4 crore shares on offer, investors placed bids for almost 2.26 crore shares.

Retail investors stayed ahead in the bidding race, with applications for nearly 60 lakh shares against their allocated portion of 2.54 crore. Subscriptions for the non-institutional investor portion increased slightly from 0.07 times to 0.12 times. However, the bids from qualified institutional buyers, which had been stagnant earlier in the day, jumped to 1.47 crore, leading to an oversubscription of 1.01 times.

Dr Agarwal's Health Care IPO GMP slipped to Rs 407 today, indicating a mere 1.24 per cent premium over the upper price band of Rs 402.

Dr Agarwal's Health Care outlook

The eye care specialist is currently the largest eye care service provider by revenue, with a 25 per cent market share in the country's eye care service chain market.

Its comprehensive range of services, covering everything from checkups and consultations to surgeries and the sale of optical and pharmaceutical products, further strengthens its position as a dominant player.

Dr Agarwal's Health Care risks

Factors like stiff competition from leading multi-specialty and single-specialty players, as well as a high concentration of its facilities in just two states (Maharashtra and Tamil Nadu), can potentially hamper the company's growth prospects.

To check the company's historical track record, valuation metrics and key financial ratios, visit our full analysis.

Also read: Dr Agarwal's Health Care IPO Day 1: Latest subscription update