Healthcare borrowers tap bonds, private placements as CapEx cycle turns

Fortis Healthcare has ₹1,550 crore of outstanding debt securities raised via privately placed non-convertible debentures, underscoring hospitals’ growing comfort with bond markets to fund expansion. The NCDs, issued in late 2024 with an initial coupon of about 7.76% and maturing in 2029, are part of a calibrated shift towards longer-tenor, market-linked funding.

Across the sector, large healthcare chains have stepped up bond issuances, term loans and structured private placements to finance brownfield capacity, diagnostics roll-outs and digital upgrades amid steady demand and improving operating metrics. Analysts say deleveraged balance sheets post-pandemic, a visible pipeline of new beds and rising investor appetite for healthcare credit are together supporting more competitive pricing and longer maturities for hospital borrowers compared with the last CapEx upcycle.
MB Bureau