Private equity giant KKR & Co is set to acquire a majority stake in India’s Healthcare Global Enterprises (HCG) from CVC Capital Partners, in a $400m deal that will make KKR the largest shareholder and sole operator of the Indian cancer-care chain.
As part of the agreement, KKR will acquire up to 54% of HCG from CVC at a purchase price of NIR445 per share, according to a statement released late on Sunday. The firm will also launch an open offer to buy additional shares from public investors, potentially increasing its stake to 77%, securing full control over HCG’s operations in India.
Following the announcement, HCG shares surged as much as 5.4% on Monday before paring gains.
Founded in 1989, Bengaluru-based HCG operates 21 hospitals across India, specialising in cancer care. The acquisition highlights private equity’s increasing interest in India’s healthcare sector, driven by the country’s 1.4 billion-strong population and rising demand for medical services.
