Billionaire Ranjan Pai-controlled Manipal Hospitals has entered into a definitive agreement with private equity firm Multiples for a 100 per cent acquisition of Bengaluru based Vikram Hospital, making it their tenth hospital in the city. According to sources, the deal size is valued at Rs 350 crore. Post the acquisition, Vikram Hospital will be rebranded as Manipal Hospital.
This is the second acquisition by Manipal Hospitals this year. The hospital chain had completed the acquisition of India operations of Columbia Asia Hospitals for Rs 2,100 crore in April, making it the second largest player in the country after Apollo Hospitals.
“There are two greenfield hospitals that are currently under construction and once they are complete in the next 24 months, our network of 12 hospitals with over 2,300 beds would be best placed to provide ease of access and comprehensive care to everyone across this fast growing city (Bengaluru),” said Pai, Chairman of Manipal Education and Medical Group (MEMG).
“Vikram Hospital has a good track record and it fits in well with our network in Bengaluru,” said Dilip Jose, MD & CEO, Manipal Health Enterprises. Jose had earlier said the hospital chain is also looking at opportunities in east and west India to enhance coverage.
Manipal Hospitals had raised Rs 2,100 crore in April from government-anchored National Investment and Infrastructure Fund to finance its acquisition plans.
With the completion of acquisition of 100 per cent stake in Columbia Asia Hospitals in India and addition of Vikram Hospital, the integrated network has a pan-India footprint of 27 hospitals across 14 cities with over 7,300 beds, and a pool of 4,000 doctors along with an employee strength of over 11,000.
“We are pleased that we are handing over this marquee asset to an extremely worthy Manipal Hospital Group. With this larger canvas our doctors will have the ability to have a deeper impact on the healthcare needs of the city,” said Renuka Ramnath, founder, MD & CEO of Multiples, which took over Vikram Hospital in 2015.