Lotus Eye Care
Coimbatore-based Lotus Eye Care Hospital has filed its DRHP with SEBI on 1st February '08 to enter the capital market with an IPO of equity shares with a face value of Rs 10 each at a price to be determined through the book building process. The company intends to raise Rs 42 crore from the issue.
The shares are proposed to be listed on BSE and NSE. The BRLM to the issue is Keynote Corporate Services.
The company intends to use the proceeds from the issue to part finance its project cost of Rs 55 crore which involves expansion of existing facilities and setting up new centers at a cost of Rs 45.55 crore; setting up primary eye care unit at an outlay of Rs 3.30 crore; working capital requirement of Rs 1.50 crore and Rs 4.65 crore toward contingencies.
Lotus Eye Care Hospital specializes in super specialty services related to eye care. The company has a network of four eye care hospitals based at Coimbatore (2), Salem and Tirupur. The total bed strength of all the centers is 120, excluding eye camp beds. All the four hospitals have fully computerized set-up. They are equipped with 9 operation theatres and 3 lasik laser equipments. The company currently earns a medical tourism revenue of Rs 8 crore from its hospitals. The company's percentage of overseas patients account for 2-3% of the hospitals total inbound patients, who are mostly from Bangladesh, Sri Lanka and West Asia. It is in talks with many ophthalmologists from Nepal, Sri Lanka and African and European countries to refer patients to their eye care hospital.
In the year 1998, Lotus Eye Care Hospital introduced Multi-scan Lasik and in 2002 the Wave front- based Esiris Custom Lasik was introduced for the first time in India. Lotus was the first eye hospital in South East Asia to have Epilasik in 2004. During 2007, the hospital performed over 4,200 surgeries such as cataract, lasik / epilasik, corneal, vitreo-retinal, squint, oculoplastic and orbital.
The hospital's sources of income are from outpatient, daycare and inpatient hospital services, besides retail sales in the pharmacy and opticals. For the year ended 31st March 2007, the company posted an income of Rs 7.30 crore and a net profit of Rs 1.29 crore as compared to an income of Rs 2.97 crore and a net profit of Rs 52 lakh for FY06. For 6 months ended September 30, 2007, the income was Rs 5.05 crore and net profit of Rs 99 lakh.