ASG Hospital gears up for USD 500 mn listing

ASG Hospital, a leading eyecare hospital chain in India, is preparing to file for an IPO to raise up to INR 41.8 bn (USD 500), with a filing expected this month, Bloomberg reports, citing unnamed sources. The offering is expected to include a fresh equity component of about 15% alongside a secondary share sale by existing investors.

Why it matters: ASG Hospitals was backed by Bahrain-based Investcorp in 2017, which sold its stake to US private equity General Atlantic and Mumbai-based Kedaara Capital in 2022 in a transaction worth INR 15 bn. The firm had also raised INR 3 bn in a funding round led by Emirati family office Foundation Holdings.

Who are they? ASG provides comprehensive, end-to-end eye care under one roof, bringing specialised services to India’s tier 2 and tier 3 cities. It operates a network of over 175 hospitals and 200 vision centers spanning more than 90 cities in India. They also operate international branches in Nepal and Uganda.

Expansion plan: The chain has previously outlined around INR 20 bn in capital expenditure through 2030 as it looks to expand its network to 700 centers through organic growth and acquisitions.

Advisors: Axis Capital, Motilal Oswal Investment Advisors, HSBC Holdings, Morgan Stanley, and Nomura Holdings are advising on the proposed transaction.

Market context: ASG’s joining a long queue of specialized healthcare companies preparing for the IPO route — Mubadala-backed Manipal Health Enterprises, Indira IVF Hospital, and Yashoda Healthcare Services. Last year, another hospital chain, Dr. Agarwal’s Health Care, raised USD 350 mn through a listing. For now, Max Healthcare Institute remains India’s most valuable listed hospital chain, with a market capitalization of about USD 10.2 bn.

Also coming up in the IPO pipeline

Yotta Data Services — a Mumbai-based data center and AI cloud infrastructure firm — is firming up plans for a listing that could raise up to INR 85.7 bn (USD 900 mn), targeting a valuation of USD 6 bn, Bloomberg reports, citing people it says are familiar with the matter. The company appointed ICICI Securities and SBI Capital Market to manage the listing and is expected to file papers in three months, with a listing slated toward the end of this year.

Yotta runs India’s largest cluster of Nvidia AI processors, placing it within the AI infrastructure segment currently drawing strong investor interest. The firm is also planning a pre-IPO raise of up to USD 300 mn. The listing comes as AI demand pulls more capital toward digital infrastructure, with India’s data center market expected to attract over USD 100 bn in investment by 2027, according to Bloomberg.

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