The Competition Commission of India has approved the 100% shareholding of Columbia Asia Hospitals Private Ltd. (CAHPL) by Manipal Health Enterprises Private Ltd. (MHEPL).
MHEPL is a part of Manipal Education and Medical Group (MEMG) and a multi-specialty healthcare provider of it.
It is not into any business activity outside of India except Malaysia.
CAHPL is a part of International Columbia US LLC. It is a chain of hospitals that operates across India, Africa, and China. It was one of the first companies that entered India through 100% FDA.
The market sources value the deal at Rs. 2,100 crore. The new entity would have 27 hospitals running across 15 cities.
The benefits of the combined entity would be able to enhance access to healthcare throughout India. The acquisition would lead to a combination of clinical expertise and services of MHEPL with the service quality of CAHPL. It will help in addressing the increasing demand for high-quality healthcare in India.
Due to the acquisition, MHEPL would be the 2nd largest healthcare chain after Apollo Hospitals. For the acquisition, MHEPL had entered into a share purchase agreement with CAHPL in November 2020.