Centre for Sight IPO Details, Price, Prospectus, Allotment, Listing

The Initial Public Offer for Centre for Sight, a leading eye care chain is all set to hit Indian Capital Markets. It is promoted by Dr. Mahipal Singh Sachdev who is a former Ophthalmologist at AIIMS. It has received SEBI’s approval. The IPO of New Delhi Centre for Sight Limited will comprise of issuing fresh shares of about 115 crores and an offer for sale of upto 25.4 lacs shares of existing shareholders.

The Company plans to use this amount to expand its operations primarily in Northern India. Also, the funds will be utilized for constructing Super specialty eye care centre in Dwarka, situated in western part of Delhi. Apart from this it plans to add at least 6 more eye care centres. Some part of funds will also be used to pay loans that it has availed to construct the eye care centre in Dwarka. Also, capital will be used for buying shares from existing shareholders of CFS Netralaya, Meerut.

Basic Details of the IPO

IPO face value : Not Available

IPO Price Band : Not Available

IPO Date Range : Not Available

Minimum Quantity : Not Available

Minimum Investments: Not Available

Issue Size : Not Available

Listing on : National Stock Exchange (NSE), Bombay Stock Exchange (BSE)

Lead Managers : Axis Capital, ICICI Securities

Registrar

Karvy Computershare Private Limited
Karvy Selenium Tower B
Plot 31-32, Gachibowli, Financial District
Nanakramguda
Hyderabad 500 032, Telangana, India
Tel: (+91 40) 6716 2222 / Fax: (+91 40) 2343 1551
E-mail: einward.ris@karvy.com
Website: www.karisma.karvy.com
Investor Grievance Email: centreforsight.ipo@karvy.com

View New Delhi Centre for Sight’s Draft Red Herring Prospectus

Background of Centre for Sight

It is a leading eye care service provider in India with brands like “Centre for Sight” and “New Vision Laser Centres”. offering a comprehensive suite of diagnostic and surgical eye care procedures for patients of all age groups. The primary focus of the company remains the premium ophthalmic surgeries supported by advanced technology not only for cataract and Laser in Situ Keratomileusis (“LASIK”) procedures, including Small Incision Lenticule Extraction (“SMILE”)[TM] technology (a sophisticated laser surgery for refractive error correction), but also for niche eye care procedures, such as for ocular oncology and for vitreoretinal surgeries, glaucoma and ophthalmoplastic procedures.

Incorporated in 2002, the company evolved into a professionally managed network of 51 centres, engaging 145 doctors, across 30 cities in India as on September 30, 2015, including four ophthalmology DIH centres, 14 standalone LASIK centres and seven LASIK facilities located within eye hospitals owned by third parties, supported by our in-house pharmacy (including for contact lenses) and optical outlets (for spectacles and spectacle accessories) located at 25 of our centres across India, as well as an eye bank located at one of our centres in New Delhi. In addition, we use mobile LASIK machines to optimize our use of technology across our network of centres.

We believe that our specialist doctors are among the leading doctors in India across the various super-specialties in the eye care service segment, including for cataract, cornea and refractive surgery, vitreo-retina, squint, glaucoma, ocular oncology, paediatric ophthalmology, ophthalmoplasty, and neuro-ophthalmology. In addition, we have
endeavored to collaborate with reputed doctors and local talent, in the course of our inorganic growth through our
past strategic acquisitions and investments. We also conduct LASIK training and cataract surgery training,
including through alliances and tie-ups and other training initiatives aimed at young doctors and optometrists, as
well as conducting clinical studies and trials testing procedures.
With a strong footprint in North and West India and growing presence in other regions, based on our scalable huband-
spoke business model and our track record of organic as well as inorganic growth, we believe that we are well
positioned to provide high-quality professionally managed eye care throughout India. We are also in the process
of setting up a composite super-specialty eye care centre in Dwarka, which we will seek to develop as a hub for a
cluster of smaller centres in the Delhi NCR region as well as a hub for medical tourism, and as an academic and
research centre.
We have a strong surgical focus, with 87 OTs including 122 OPD rooms across our centres. During fiscal 2015,
we served 606,388 patients, having performed 23,167 cataract surgeries, 9,137 LASIK and 12,948 other eye care
procedures, compared to 588,375 patients, 22,443 cataract surgeries, 8,065 LASIK and 11,219 other eye care
procedures during fiscal 2014 and 507,930 patients, 21,060 cataract surgeries, 7,647 LASIK and 7,690 other eye
care procedures during fiscal 2013, respectively. We have strived to make use of the latest and best-in-class
technology as this is at the core of our organizational ethos. We believe that our use of technology and specialized
techniques has strengthened our diagnostic capabilities and bolstered post-operative outcomes for our patients.
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Significant awards received by us recently include the India Mart Leaders of Tomorrow Award in 2014 and 2012,
IMA Medachievers.com Award for Merit for Excellent Contribution towards Medical Profession in 2014, EDGE
Award for private cloud implementation in 2012 and FICCI Healthcare Excellence Award for Operational
Excellence (Private Sector) in 2012.
During the three month period ended June 30, 2015 and for the fiscals ended 2015, 2014 and 2013, we reported
EBITDA of ` 82.00 million, ` 279.92 million, ` 197.36 million and ` 231.62 million, respectively. Our EBITDA
has grown at a four year CAGR of 45%.
Our revenue grew from ` 423.01 million in fiscal 2011 to ` 1,511.28 million in fiscal 2015 with a CAGR of
37.48%. We generated a revenue of ` 290.78 million and ` 60.35 million from IPD and OPD during the three
month period ended June 30, 2015, ` 1099.84 million and ` 210.09 million in fiscal 2015, ` 938.86 million and `
192.67 million in fiscal 2014 and ` 815.62 million and ` 168.78 million in fiscal 2013, respectively. Cataract
surgery, which accounted for a major portion of our revenue from IPD, generated ` 152.68 million during the
three month period ended June 30, 2015, ` 582.38 million in fiscal 2015, ` 521.14 million in fiscal 2014 and `
464.46 million in fiscal 2013. The revenue generated from refractive surgery during the three month period ended
June 30, 2015 and in fiscal 2015, 2014 and 2013 was ` 77.24 million, ` 317.48 million, ` 266.51 million and `
247.16 million, respectively.
Our Strengths
We believe that our competitive strengths include the following:
 Highly qualified clinical team, supported by industry experienced management team
 Technology driven eye care services provider
 Comprehensive ophthalmic solutions with strong surgical focused lineage
 Track record of inorganic and organic growth, based on business model innovation
 Trusted healthcare brand with wide network
 Track record of growth in financial performance
Our Strategies
The key components of our competitive and growth strategy are as follows:
 Leverage favorable demographics and other industry growth drivers
 Develop a composite super-specialty eye care centre in Dwarka
 Increase our penetration across India through our scalable models
 Consolidate and expand our geographical footprint across India
 Diversify our revenue streams

Promoters of Centre for Sight

Dr. Mahipal Singh Sachdev (holding 6,827,443 shares), an eminent ophthalmic surgeon and Padma Shri recipient
Dr. Alka Sachdev (holding 563,535 shares)

Company Financials

All figures in Rs. Millions