Global private equity firm Blackstone has agreed to acquire a controlling stake in Care Hospitals from TPG, in a deal that values the India and Bangladesh based hospital chain at about $800 million, according to a report by The Economic Times.
The report cites unnamed sources familiar with the matter as saying that under the terms of the agreement, Blackstone will acquire a 70% stake in the business.
As part of the deal, Blackstone’s first healthcare investment in India, TPG will retain a minority holding of about 30%.
There are hurdles to overcome before the deal completes though, with Max Healthcare Institute currently challenging the sale in the Indian courts having accused TPG of breaching the terms of an exclusivity agreement it claims it had on a potential acquisition.
