Eye care chain ASG Hospitals accelerates expansion with IPO plans, eyes 700+ centres across India

ASG Eye Hospitals

ASG Hospitals, one of India’s fastest-growing super-specialty eye care chains, is ramping up its expansion through a mix of acquisitions and greenfield projects, with plans to scale to over 700 centres nationwide in the next few years. The company is also preparing for a potential IPO within 18-24 months, as it consolidates its position in tier-2 and tier-3 cities and deepens its footprint in underserved districts.

“India needs at least one dedicated eye hospital per district,” said Dr. Arun Singhvi, Chairman and Managing Director of ASG Hospitals in a recent interview told Moneycontrol. “We’re at 170-plus centres now, but the benchmark is 700. That’s the scale we’re working toward.”

ASG’s growth is being led by both organic expansion and strategic acquisitions. In FY24 alone, the company added 13 centres—six greenfield and seven acquired—and plans to open 25 more in FY26, followed by 100 annually thereafter. The company typically acquires 80-85% of a practice, retaining 15% with the doctor to ensure continuity and local engagement.

“We assess not just financials but clinical quality and growth potential,” Singhvi said. “Doctors work with us before finalising the acquisition. It’s a partnership model, not just a buyout.”

India’s eye care industry is projected to reach a market size of 55,000–65,000 crore by FY2028, growing at a CAGR of 12–14% from FY2024. While eye care currently represents 6% of Indian healthcare delivery market, it remains one of the fastest- growing segments due to rising demand and significant untapped potential. According to International Agency for the Prevention of Blindness (IAPB), India has the world’s highest number of visually-impaired people, with nearly one in every five affected.

The eye care specialty within broader healthcare is seeing huge interest and deals among PE investors.

ASG for instance has attracted marquee investors including General Atlantic, Kedaara Capital, and Foundation Holdings. In FY25, existing shareholders infused fresh capital through compulsory convertible preference shares (CCPS), strengthening the company’s liquidity and funding its expansion plans.

According to CARE Ratings, ASG’s consolidated revenue surged 81% year-on-year to Rs 792 crore in FY24, with operating profit (PBILDT) rising 51% to ₹170 crore. The company expects revenue to grow over 30% annually in the near term, driven by maturing centres and improved performance of acquired entities like Vasan Healthcare.

“Post-acquisition, Vasan’s revenue grew from Rs 12 crore to Rs 45 crore, and EBITDA turned from Rs 50 lakh to over Rs 50 crore,” Singhvi noted. “It was a turnaround story.”

District-level strategy and PPPs

ASG’s model focuses on decentralised care, bringing advanced eye treatments to district-level hospitals. In Bihar, the company has partnered with the state government to manage eye care in 200 public hospitals under a PPP model, using AI for screenings and referring surgeries to ASG centres.

“This is the first time such a model has been offered to private players,” Singhvi said. “We’re now live in 200 hospitals, and it will expand to 500.”

The company’s approach includes upgrading local doctors, integrating them into ASG’s systems, and providing support in insurance, procurement, IT, and marketing.

“A doctor earning Rs 22 lakh a month before integration now earns Rs 1 crore,” Singhvi said. “It’s about empowering local champions.”

Technology, premiumisation driving growth

ASG is leveraging cutting-edge technology, including Femto lasers and premium cataract lenses, to enhance outcomes. Cataract surgeries account for 50% of surgical revenue, while the rest comes from retina, glaucoma, cornea, and LASIK procedures.

The revenue mix is 60% from surgeries, 25% from pharmacy and opticals, and 15% from consultations. Around 62% of revenue is via cashless modes—TPAs, government schemes, and corporate clients.