Manipal Health Enterprises Pvt., a leading Bengaluru-based hospital chain, is set to file for a $1 billion initial public offering (IPO) in January, marking the largest such listing by a hospital operator in India.
The IPO targets a valuation of up to $13 billion and includes a fresh issue of shares alongside an offer for sale by existing investors, though final details remain subject to ongoing discussions. Manipal is collaborating with advisers such as Kotak Mahindra Capital Co., Axis Bank Ltd., and local units of Goldman Sachs Group Inc., JPMorgan Chase & Co., and Jefferies Group LLC.
Recent Growth and Backing
Backed by Singapore's Temasek Holdings Pte., Manipal has expanded aggressively through acquisitions, including the recent purchase of Sahyadri Hospitals Pvt., Maharashtra's largest hospital chain, from Ontario Teachers' Pension Plan Board. In June, KKR provided $600 million in financing to support further growth, prompting a temporary pause in IPO preparations to complete the Sahyadri deal.
The company, part of a conglomerate spanning health care, education, and insurance, operates over 10,500 beds. Post-listing, Manipal could emerge as India's most valuable health-care operator, surpassing Max Healthcare Institute Ltd.'s current $12 billion market capitalization, amid growing investor interest in the sector.
Representatives from Manipal and involved banks did not respond to comment requests, while JPMorgan and Axis Bank declined to comment. The prior major hospital IPO was Dr Agarwal's Health Care's $350 million offering earlier this year.
