New Delhi, Dec 24 (IANS) Radiant Life Care said on Monday that it, along with global investment firm KKR, will acquire a majority stake in the joint venture Max Healthcare Institute Ltd from Max India.
A Radiant Life statement here said the all cash transaction includes its purchase of a 49.7 per cent stake in Max Healthcare from South Africa-based hospital operator Life Healthcare International Proprietary Ltd.
"Radiant Life Care Private Limited, backed by global investment firm KKR has entered into a transaction whereby its shareholders it will acquire a majority stake in Max Healthcare Institute Limited from Max India Ltd," it said.
"The acquisition will be undertaken through a series of transactions, including Radiant's purchase of a 49.7 per cent stake in Max Healthcare from South Africa-based hospital operator Life Healthcare in an all cash deal, followed by demerger of Radiant's healthcare assets into Max Healthcare which will result in KKR and Radiant promoter Abhay Soi together acquiring a majority stake in Max Healthcare."
Upon closing of the transaction, Abhay Soi will lead the combined company as its Chairman, supported by a strong leadership team, the statement added.
As per the statement, while KKR will have a majority stake in the merged entity with 51.9 per cent stake and Abhay Soi will have 23 per cent, the founding promoter of Max India Analjit Singh will be classified as a non-promoter with 7 per cent stake after selling 4.99 per cent stake to KKR.
Following the merger, Max India will get dissolved, and the equity shares of the merged entity will subsequently get listed on the stock exchanges.
Commenting on the development, Radiant Life Chairman Abhay Soi said ib a statement: "The proposed acquisition of a majority stake in Max Healthcare marks an exciting step forward in our strategy to increase scale by merging with a leading and complementary hospital network."
"Max Healthcare has been an integral part of my entrepreneurial journey and I can't think of better partners than Radiant, backed by KKR, to carry forward this legacy," said Max Group Chairman Emeritus Analjit Singh.
(This story has not been edited by Social News XYZ staff and is auto-generated from a syndicated feed.)
