Global investment firm KKR has agreed to acquire a controlling stake in India-based multi-speciality hospital network Baby Memorial Hospital (BMH).
Under the terms of the agreement, funds managed by KKR will acquire up to 65% stake in the hospital chain, for a price ranging between $280 and $300m.
KKR said that the investment, from its Asian Fund IV, would support BMH’s efforts to address the growing need for quality, accessible healthcare services in India.
It will also help the hospital chain to advance its strategy to build a pan-India network of hospitals, through both organic and inorganic growth strategies.
The transaction builds on KKR’s previous investments in the Indian healthcare sector, including Max Healthcare, Healthium, Infinx, JB Pharma, and Gland Pharma.
It is the investment firm’s second investment in the Indian hospital sector, after exiting Max Healthcare in 2022, with returns almost five times its initial investment.
KKR partner and India private equity head Akshay Tanna said: “Our investment in BMH reflects our continued thematic focus on healthcare in India.
“This partnership with Baby Memorial’s founder K G Alexander and family will aid the hospital chain in expanding its network of hospitals and continuing to invest in medical infrastructure so that its medical services can reach more patients in India.
“We look forward to drawing from KKR’s network and deep healthcare expertise to take BMH to its next phase of growth and deliver greater impact to its communities.”
Established in 1987, BMH has a capacity of 1,000 beds across hospitals in Calicut and Kannur, with planned expansions across the region.
The network provides specialised treatment across 40 medical and surgical departments, including cardiology, oncology, neurology, gastroenterology, paediatric, and orthopaedic care.
BMH has invested in top-quality grade medical infrastructure and has multiple quality accreditations across hospitals in its network.
Baby Memorial Hospital founder K G Alexander said: “We are pleased to be able to tap into global and local experience in the healthcare sector, which will enable us to accelerate our growth and expand our services across India, and importantly continue to deliver excellence to the patients we serve.”
