General Atlantic-backed ASG Eye Hospital eyes ₹2,000 crore investment for expansion by 2030
General Atlantic and Kedaara Capital-backed eye care chain ASG Eye Hospital plans to invest ₹1,500-2,000 crore by 2030 to expand its footprint in smaller cities, signaling the growing clout of organized players in India’s eyewear market.
The Jodhpur-based hospital chain has over 175 hospitals and 200 vision centers or clinics in over 95 cities in India. It plans to grow its clinic count to 600-700 over the next four years through a mix of organic and inorganic expansion, although it has its eye on a potential IPO in the next 12-18 months.
The company aims to acquire 8-10 hospitals a year, 5-7 organic multi-specialty centers and 100 regional clinics, the company’s management told reporters at a press conference on Thursday.
The eyewear chain signed a binding agreement to merge with Sharp Sight Eye Hospitals earlier this week. CEO and general manager Dr. Arun Singhvi said the company is actively exploring new assets.
“Everyone wants to sell. We also want to be partners.” [someone] “Who wants to grow,” he said.
IPO plans
The expansion will be financed through internal accruals, debt and a capital increase of approximately 200 million lira. ₹1000 crore, said Dr. Singhvi. “Probably within the next 12 months “On our side, we will have a public offering or private placement,” he said.
Bloomberg reported last week, citing sources, that ASG was targeting an investment of $391 million ( ₹3,500 crore) initial public offering next year with a target valuation of $2.6 billion. According to the report, the share sale is expected to dilute approximately 15% of the company’s equity capital and will also include a new issue and offer for sale to existing investors.
As the organized market grows, India’s only specialty eyewear chains are attracting investors’ attention. Rival eyewear chain Dr Agarwal’s Health Care Ltd increased its shares by listing on the stock exchanges in January this year ₹3,027.26 crore consists of a new number ₹300 crore and offer for sale ₹2,727.26 crore. Since its listing, the company has reached a market capitalization of: ₹15,875 crore and is trading at a price-earnings ratio of 138.40.
GSK Velu, the promoter and chairman of the company, had previously stated that Quadria Capital-backed Maxivision Super Specialty Eye Hospitals also plans to go public in 2027.
ASG had raised ₹1,500 crore from General Atlantic and Kedaara Capital in 2022, followed by the acquisition of south India-based eyewear chain Vasan Eye Care in 2023.
