Dr Agarwals Health shares fall 7% after Rs 2,065-crore block deal; Hyperion Investments, Claymore likely sellers

Shares of Dr Agarwals Health Care fell as much as 7.3% to their day’s low of Rs 503 on the BSE on Wednesday after 4.07 crore shares, representing 12.9% of the company's equity, changed hands through block deals. The transactions were executed at Rs 506.5 per share, taking the total deal value to Rs 2,065 crore.

While buyers and sellers of the transaction were unknown, term sheet details showed that Hyperion Investments, a TPG private equity vehicle and Claymore Investments (Mauritius) were looking to sell an 11% stake in the company. The proposed transaction was valued at Rs 1,750 crore, with an upsize option of 2% worth Rs 250 crore.

The floor price for the deal was set at Rs 500 per share, a 7.7% discount to the previous closing price.


Also read: BSE’s Nifty50 hot seat may trigger $695 mn inflows. What this means for shareholders

Dr Agarwals Q1 results snapshot

Dr Agarwal’s Health Care reported a net profit of Rs 55 crore for the first quarter of FY27, marking a 44.6% increase from the same quarter of the previous financial year.

The company’s revenue from operations reported a 26% year-on-year increase to Rs 614 crore in Q1 FY27 from Rs 487 crore posted in the corresponding quarter of the previous financial year. The company’s total income rose 23.9% YoY to Rs 620 crore. EBITDA increased 25.2% YoY to Rs 177 crore, with the EBITDA margin at 28.5%. Profit after tax (PAT) grew 44.6% YoY to Rs 55 crore.

The company added a record 16 surgical facilities during the quarter, nearly half of the total surgical facilities added in FY26 in a single quarter. The company said its greenfield execution engine is firing and, with a strong pipeline already in place, it remains confident of delivering on its full-year plan.

Read more: NSE indices rejig: Vodafone Idea, Wipro part of major changes in Nifty Next 50 and Nifty 100

At the end of the June quarter, public shareholders owned 67.89% of Dr Agarwal's Health Care, while promoters and promoter groups held 32.34%, according to stock exchange data. Among public shareholders, Hyperion Investments held a 23.09% stake, while Claymore Investments (Mauritius) owned 10.19%. Claymore Investments is a Temasek Holdings Private Equity vehicle.

The block deal comes as the company continues to focus on premium eye surgeries while expanding its network across India. CEO Adil Agarwal said patients are increasingly opting for higher-end procedures such as Femto cataract surgeries and lenticular procedures for glass correction.

According to Agarwal, this premiumisation is contributing at least a 5% upside, supported by better clinical results and stronger patient adoption.

Dr Agarwal's Health Care reported 16.3% same-store sales growth in the June quarter. Around half of this growth came from higher patient volumes, while the remainder was driven by premiumisation, Agarwal said.

Over the past six months, the stock has gained 11%, while it is up 27% over the last five years.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)