Radiant Life buys majority stake in Max HealthcareFebruary 5, 2019
Radiant Life Care Private Limited, an Indian hospital management company promoted by Abhay Soi and backed by global investment firm KKR, will acquire a majority stake in Max Healthcare Institute Limited.
The acquisition will be undertaken through a series of transactions, including Radiant’s purchase of a 49.7% stake in Max Healthcare from South Africa-based hospital operator Life Healthcare in an all-cash deal, followed by the demerger of Radiant’s healthcare assets into Max Healthcare, the company said in a press release.
The merged entity will operate over 3,200 beds throughout 16 hospitals across India, including tertiary and quaternary care facilities offering high end critical and super specialty care supported by local brands such as BLK Hospital, Max Saket Hospital, Max Smart Hospital, Max Patparganj Hospital, and Nanavati Hospital.
“Radiant has achieved significant growth and expansion during a time of rapid industry consolidation, and the proposed acquisition of a majority stake in Max Healthcare marks an exciting step forward in our strategy to increase scale by merging with a leading and complementary hospital network,” said Abhay Soi, chairman and managing director of Radiant. Soi will lead the combined company as its chairman.
With an equity valuation of INR 7,242 crores, the combination of Radiant and Max Healthcare is expected to create the largest hospital network in North India, which will become among the top three hospital networks in India by revenue and the fourth largest in India in terms of operating beds, according to the release.