Indivision to buy over 25% in Global Hospitals of H’bad
Future Capital Holdings’ private equity arm, Indivision India Partners, is buying just over 25% in the Hyderabad-based Global Hospitals for an undisclosed amount.
By Kala Vijayraghavan & Rajesh Unnikrishnan, TNN |
MUMBAI: Future Capital Holdings’ private equity arm, Indivision India Partners, is buying just over 25% in the Hyderabad-based Global Hospitals for an undisclosed amount. The deal is estimated to be the largest private equity transaction in the Indian healthcare space. Global Hospitals, which is understood to be valued around Rs 500 crore, will use the capital to expand its super speciality hospitals at Bangalore, Mumbai and Kolkata.
Promoted by Dr K Ravindranath, Global Hospitals announced the acquisition of Sankara Hospitals, Chennai, for over Rs 250 crore in April 2007. “We see tremendous opportunity to build out and invest in superior healthcare facilities in India. Good-quality affordable healthcare is a huge necessity in India, and with the vision and track record of Dr Ravindranath we expect Global to be a dominant industry player,” said Indivision’s MD Atul Kapur. In a few of the earlier deals, Actis (formerly CDC Capital Partners) picked up 41% stake in the Paras Pharmaceutical-promoted Sterling Hospitals for Rs 72 crore. In June 2006, IDFC Private Equity invested Rs 90 crore in Manipal Health Systems, operators of Manipal Hospitals, and also invested Rs 50 crore in Karnataka-based Healthcare Global.
Global Hospitals now operates a hospital in Hyderabad which it claims possesses the capability to successfully perform multi-organ transplants. A recent study by CII-McKinsey indicated that India had only 1.5 hospital beds per thousand people in 2001, while countries such as China, Brazil, Thailand and South Korea had an average of 4.3 beds per thousand people. Moreover, physicians in India only numbered 0.60 per thousand in 2005 compared to 1.15 in Brazil, 1.06 in China and 1.57 in the Republic of Korea, according to WHO.
FCH is the financial services arm of the Future Group, founded by Sameer Sain, former MD, Goldman Sachs and Kishore Biyani, CEO, Future Group. FCH manages assets under advisory across its real estate, private equity and hotel-related investment advisory businesses.
Promoted by Dr K Ravindranath, Global Hospitals announced the acquisition of Sankara Hospitals, Chennai, for over Rs 250 crore in April 2007. “We see tremendous opportunity to build out and invest in superior healthcare facilities in India. Good-quality affordable healthcare is a huge necessity in India, and with the vision and track record of Dr Ravindranath we expect Global to be a dominant industry player,” said Indivision’s MD Atul Kapur. In a few of the earlier deals, Actis (formerly CDC Capital Partners) picked up 41% stake in the Paras Pharmaceutical-promoted Sterling Hospitals for Rs 72 crore. In June 2006, IDFC Private Equity invested Rs 90 crore in Manipal Health Systems, operators of Manipal Hospitals, and also invested Rs 50 crore in Karnataka-based Healthcare Global.
Global Hospitals now operates a hospital in Hyderabad which it claims possesses the capability to successfully perform multi-organ transplants. A recent study by CII-McKinsey indicated that India had only 1.5 hospital beds per thousand people in 2001, while countries such as China, Brazil, Thailand and South Korea had an average of 4.3 beds per thousand people. Moreover, physicians in India only numbered 0.60 per thousand in 2005 compared to 1.15 in Brazil, 1.06 in China and 1.57 in the Republic of Korea, according to WHO.
FCH is the financial services arm of the Future Group, founded by Sameer Sain, former MD, Goldman Sachs and Kishore Biyani, CEO, Future Group. FCH manages assets under advisory across its real estate, private equity and hotel-related investment advisory businesses.
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