Max Healthcare has plans to acquire the 49 percent stake it does not already own in Saket City Hospital Pvt. Ltd., and expand its hospital operations for a total of 2080 crore.
Max Healthcare Institute Ltd. is exploring possibilities to fund the acquisition of the Delhi-based hospital from the overseas markets, and will raise 480 crore from International Finance Corporation via secured non-convertible debentures.
Max Healthcare Institute had acquired a 51 percent stake in Saket City Hospital from Singapore-based BK Modi Group Company Smart Health City Pte. Ltd. in 2015. Smart Health City was the holding firm for Saket City Hospital, which started operations in 2013.
The Saket City Hospital complex comprises Max Smart Super Specialty Hospital, Max Super Specialty Hospital (West Block), and Max Super Specialty Hospital (East Block).
Following the acquisition, Max Healthcare plans to create a medicity across the joint complex of the network hospitals. The company will develop the complex to create a specialized center for premier quaternary care with seven centers of excellence for selected specialties to provide comprehensive clinical services.
Max Group has grown its hospital network largely by setting up new facilities on its own. Its first acquisition of a hospital was in 2015, when Max Healthcare acquired 76 percent of Pushpanjali Crosslay Hospital for 287 crore in Ghaziabad, in the national capital region.