Max Healthcare Institute Ltd announced its complete acquisition of Starlit Medical Centre Pvt Ltd for an enterprise value of ₹940 crore, on Friday. This strategic move grants Max Healthcare ownership of the 550-bed Sahara Hospital located in Lucknow.
The company has successfully finalized a binding share purchase agreement (SPA) to acquire a full 100% stake in Starlit Medical Centre Pvt Ltd. Starlit Medical Centre had previously engaged in a business transfer agreement with Sahara India Medical Institute Ltd, involving the acquisition of the healthcare undertaking, which encompasses the 550-bed Sahara Hospital in Lucknow.
Furthermore, this transaction is structured on a slump sale basis, as outlined in the statement from Max Healthcare Institute.
The hospital is located on a land parcel of ~27 acres at Gomti Nagar, Lucknow, an upmarket residential and commercial hub. It is housed in a 17-storey building with a built-up area of ~ 8.9 Lakh sq ft. and offers multi-disciplinary care in various specialties like Gastroenterology, Neuro, Surgery, Cardiology, Pulmonology and diagnostics facilities. It also has a Nursing College on the same premises, which offers GNM, BSc and MSc courses, with annual intake of 100+ students.
The Share Purchase Agreement (SPA) was successfully executed with an enterprise value of ₹940 crore, facilitated through one of the company’s wholly-owned subsidiaries, Crosslay Remedies Ltd (CRL).
This strategic acquisition signifies Max Healthcare’s entry into Lucknow, a rapidly growing city in Uttar Pradesh. The acquired Sahara Hospital is a tertiary care facility, offering comprehensive healthcare services that encompass a wide range of super specialties, including gastroenterology, neurology, surgery, cardiology, pulmonology, and diagnostics, all conveniently housed under one roof.
Abhay Soi, Chairman and Managing Director of Max Healthcare Institute, emphasized that this acquisition aligns seamlessly with the company’s overarching strategy to expand into new Tier I and Tier II cities equipped with a well-developed healthcare services infrastructure.
“We are excited about this acquisition, which is in line with our strategy to enter new Tier I / II cities which have a developed healthcare services ecosystem. Given our track record of successful postmerger integration, we expect to quickly improve the operating and financial performance on the strength of medical excellence of our clinicians and continued patronage from our patients. Through our presence in Lucknow, we aim to bring quality healthcare to people of Uttar Pradesh,” Soi said.
“Given our track record of successful post-merger integration, we expect to quickly improve the operating and financial performance on the strength of medical excellence of our clinicians and continued patronage from our patient,” he added.
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Published: 08 Dec 2023, 07:18 PM IST