Singapore’s Temasek Holdings is acquiring a majority stake in Manipal Health Enterprises by purchasing shares from promoters and other investors.

The Singapore-owned government fund earlier held an 18 per cent stake in the hospital chain and has now bought 41 per cent at an enterprise valuation of Rs 40,000 crore.

Besides the promoters, TPG and National Investment and Infrastructure Fund (NIIF) have sold shares.

Media reports said TPG has sold 11 per cent of its 22 per cent stake, while NIIF has sold its entire 8 per cent stake in the hospital chain.

In 2015, TPG picked up the minority stake in Manipal Health Enterprises for Rs 900 crore.

Manipal Health is part of the Manipal Education and Medical Group which is focused on education, healthcare and research.

Manipal Health is now the second-largest hospital chain in the country: according to its website, the network covers 29 hospitals in 16 cities.

The hospital chain has been expanding through the acquisition route.

In November 2020, it announced plans to acquire a 100 per cent stake in Columbia Asia Hospitals Pvt Ltd (Columbia Asia) for about Rs 2,000 crore.

Manipal Hospitals had then said that the acquisition offers it a “remarkable geographical and cultural fit”, and provides a larger national footprint.

Columbia Asia Hospitals which started operations in India in 2005, had 11 hospitals in the country in cities such as Bangalore, Mysore, Calcutta, Gurgaon, Ghaziabad, Patiala and Pune when it was acquired by Manipal Health.

Subsequently, in June 2021, Manipal Health bought Vikram Hospitals in Bangalore from Multiples Private Equity for Rs 350 crore.

Temasek has also been taking more interest in India’s healthcare space. Its arm Sheares Healthcare India had acquired a majority stake in Calcutta-based Medica Synergie Pvt Ltd, a multi-specialty hospital.

Deal valued at Rs 40,000cr

■ Temasek buys shares from promoters, TPG and NIIF

■ Singapore fund held 18%, buys another 41 per cent

■ TPG has sold 11% of its 22% stake, NIIF sells its entire 8% stake

■ Manipal Health owner of Colombia Hospitals Chain

■ Temaek arm Sheares Healthcare India has acquired Calcutta’s Medica

■ Manipal Health India’s second largest hospital chain