VisionCare Specialist Eye Hospital — Executive Summary

VisionCare Specialist Eye Hospital seeks R75.2 million in funding (R28.0m equity + R47.2m senior debt) to build a dedicated specialist eye hospital in South Africa — scaling revenue from R88.4 million to R237.3 million by Year 5 as the facility ramps to 86% of capacity, with the EBITDA margin expanding to 41.9% and a project IRR of 75.8% and R398.0 million NPV.

VisionCare Specialist Eye Hospital Business PlanSection 1 › Executive Summary

Section 1 · Business Plan

Executive Summary

VisionCare Specialist Eye Hospital seeks R75.2 million in funding (R28.0m equity + R47.2m senior debt) to build a dedicated specialist eye hospital in South Africa — scaling revenue from R88.4 million to R237.3 million by Year 5 as the facility ramps to 86% of capacity, with the EBITDA margin expanding to 41.9% and a project IRR of 75.8% and R398.0 million NPV.

VisionCare Specialist Eye Hospital (“VisionCare” or the “Company”) is
a proposed standalone, multi-disciplinary ophthalmic hospital to be
established in a major South African metropolitan node. The facility
will deliver the full continuum of eye care — from comprehensive
diagnostics and medical ophthalmology through to advanced microsurgical
intervention — within a single, purpose-built, accredited
day-and-overnight surgical hospital. The Company seeks R75.2
million
in total funding, comprising R28.0 million of
equity
and R47.2 million of senior debt, to
fund capital expenditure, pre-opening costs and working capital.

South Africa faces a substantial and largely unmet burden of eye
disease. The leading causes of moderate-to-severe visual impairment are
uncorrected refractive error, cataract, glaucoma and diabetic
retinopathy — the majority of which are treatable or preventable. An
ageing population, a rising prevalence of diabetes, chronic shortages of
ophthalmic specialists and long public-sector surgical waiting lists
combine to create persistent, structural demand for accessible,
high-quality specialist eye care. VisionCare is positioned to meet this
demand in the privately-funded segment while maintaining a deliberate
public-private and outreach component.

The VisionCare Opportunity in Brief Structural demand: Cataract alone accounts for an estimated 28% of moderate-to-severe visual impairment and roughly half of all blindness in South Africa, much of it surgically curable. Capacity gap: Sub-Saharan Africa has one of the lowest ophthalmologist-to-population ratios globally, constraining surgical throughput and lengthening waiting times. Funded market: Approximately 9.7 million South Africans carry medical-scheme cover, underpinning a reimbursable private market for elective and medically-necessary ophthalmic procedures. Scalable model: A high-throughput, sub-specialised surgical model with strong contribution margins and a defined Year-3 expansion pathway.

1.1 The Business Concept

VisionCare will operate as a focused factory for ophthalmic care — a
model proven internationally to drive superior clinical outcomes and
operating efficiency through specialisation and volume. The hospital
will house dedicated ophthalmic theatres, a sterile services unit,
advanced diagnostic imaging, a refractive laser suite, an on-site
optical laboratory and dispensary, and consulting rooms for visiting and
resident sub-specialists. Service lines span cataract surgery,
refractive surgery, glaucoma management, vitreoretinal surgery,
intravitreal anti-VEGF therapy, oculoplastics, and comprehensive medical
ophthalmology and optometry.

The Company will contract with major medical schemes as a designated
service provider, complemented by a transparent cash-pay pathway for
elective refractive and premium-lens procedures. A structured outreach
and screening programme will extend the referral funnel into surrounding
communities and support the national imperative to reduce avoidable
blindness.

1.2 Financial Highlights

The financial model projects revenue growing from
R88.4m in Year 1 to R237.3m in Year 5,
as the facility ramps from 42% to 86% of installed capacity. EBITDA
margin expands from 18.2% to 41.9%
over the period as operating leverage takes hold. The project generates
a five-year unlevered IRR of approximately 75.8% and a
net present value of R398.0m at a 14% discount rate,
with a simple payback of approximately 3.0 years.

Figure 1.1
Figure 1.1 — Revenue, EBITDA and net profit after tax, Years 1–5 (ZAR)
Key Financial Metric Year 1 Year 2 Year 3 Year 4 Year 5
Total revenue (R’000) 88 402 130 624 168 685 206 278 237 271
EBITDA (R’000) 16 074 40 312 61 753 82 728 99 341
EBITDA margin 18.2% 30.9% 36.6% 40.1% 41.9%
Net profit after tax (R’000) 1 554 19 825 35 170 51 060 63 765
Closing cash (R’000) 1 264 17 454 42 237 91 475 154 262

Table 1.1 — Summary of projected financial performance

1.3 The Investment Proposition

VisionCare offers investors exposure to a defensive,
demographically-supported healthcare sub-sector with high barriers to
entry, recurring demand and attractive unit economics. The combination
of medically-necessary procedures (which are largely reimbursable and
recession-resilient) and elective, cash-pay refractive work provides
revenue diversification across the economic cycle.

  • Compelling returns: Project IRR of ~75.8% and
    NPV of R398.0m at a 14% discount rate.
  • Strong cash generation: Cumulative operating
    cash flow exceeding R190m over five years, supporting debt service and
    the Year-3 expansion from internally-generated funds.
  • Clear exit optionality: Trade sale to a national
    hospital group, secondary buy-out, or dividend recapitalisation once the
    facility reaches steady-state utilisation.
  • Social return: Direct contribution to reducing
    avoidable blindness, aligned to VISION 2020 / 2030 In Sight national
    objectives and to ESG-focused capital mandates.

Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of VisionCare Specialist Eye Hospital (Pty) Ltd.