Apollo Hospitals Enterprise Limited has announced a significant merger involving its subsidiary Apollo Health and Lifestyle Limited (AHLL) and Kids Clinic India Limited, known for its Cloudnine brand. This strategic combination aims to create one of India’s largest integrated maternity and fertility care platforms.
The merger values AHLL’s standalone Mother & Child and Fertility verticals at ₹1,550 crore. This valuation is represented through a combination of cash and a 9.9% equity stake in the newly formed combined entity. With this transaction, AHLL will become the largest non-financial shareholder in the platform, with board representation through a nominee director.
The combined platform will boast over 55 centres, enhancing its network presence across key markets. It will serve a diverse range of patients by providing access to high-quality clinical experiences, supported by a large pool of senior clinicians operating under robust clinical governance structures.
The merger is expected to expand services in existing markets and intensify presence in Tier 1 and Tier 2 locations. The transaction is subject to regulatory approvals, including those from the Competition Commission of India (CCI).
Investors backing the combined entity include notable names such as Temasek, True North, and TPG NewQuest. Cloudnine founders will retain a minority stake in the entity.
Dr. Sangita Reddy, Chairperson of AHLL, commented on the partnership, stating that Apollo Cradle has redefined specialised maternity and newborn care in India. She emphasised that this collaboration represents a pivotal moment for women’s healthcare in India, potentially making it one of the world’s largest platforms dedicated to women and children’s health.
Apollo Health and Lifestyle Ltd is a significant player in India’s retail healthcare sector, with a strong presence in various domains, including maternity and fertility care. Under the Apollo Cradle brand, AHLL operates 12 maternity centres, while the Apollo Fertility brand encompasses 20 fertility centres nationwide.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).