US-based private equity company TPG Capital Management on Thursday said it would buy stake in the City-based private hospital group Manipal Health Enterprises Ltd (MHEPL) for around $145.86 million (Rs 900 crore). According to a press release from Manipal, TPG will take a significant minority stake in the company. However, terms of the transaction, including the the size of the stake TPG would acquire, were not disclosed.
Manipal Health, part of the ‘Manipal Group’, owns and operates 10 multi-specialty hospitals in Western and Southern parts of the country. It also manages five teaching hospitals in Karnataka and Sikkim, as well as several fertility clinics across the country.
MHEPL indirectly owns and operates a hospital in Malaysia and manages a clinic in Nigeria, the statement added.
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Commenting on the development Dr. Ranjan Pai, CEO and MD of the Manipal Group said: “Given its deep knowledge and understanding of the healthcare sector and reputation as a supportive and value creating partner, I am delighted that TPG has decided to invest in MHEPL. This is a significant foreign investment into the Indian healthcare industry, which is worth over US$80 billion.”
MHEPL and TPG have been jointly advised by Allegro Capital Advisors, the company added.