The largest US private equity firm KKR will sell its whole 27% ownership in the hospital network Max Healthcare. The deal is set to take place tomorrow and is expected to generate Rs 9,000 crore.
The KKR-affiliated corporation Kayak Investment, which invested in the healthcare company, will carry out the stake sale via a block deal.
According to the purchase terms announced on August 15, the business would sell all 26.7 crores of its Max Healthcare shares at a price range of Rs. 350-361.9 per share.
According to the statement, the upsize option is for the remaining 6.83% stake, or 6.6 crore shares, while the base offer is for around 20% stake or 19.3 crore shares. At the high end, the projected value of the entire transaction is Rs 9,416 crore.
Max Healthcare shares and Radiant, a company with headquarters in Mumbai, were both purchased by KKR in 2018 for Rs 80 a share.
At the end of June of the previous year, Kayak Investments owned 45.63 billion shares, or 47.24%, of Max Healthcare. The company sold 8.44 crore shares for Rs 2,956 crore through open market transactions on September 29, 2021. Among those who purchased the shares were SBI Mutual Fund, Veritas Funds Plc, and HDFC Mutual Fund.
In March 2022, the KKR-affiliated entity sold an additional 10% of the business for over Rs 3,300 crore. SBI Mutual Fund, Pension Fund Global, and Smaller Cap World Fund were among the buyers.
On August 12, Max Healthcare’s shares on the BSE finished 2.74% lower at Rs 361.55.
