Medi Assist shares worth Rs 580.50 crore were sold in a block deal on September 3 with promoter Bessemer India being the likely seller. Around 95 lakh shares, representing a 13.5 percent stake of the company that offers third-party administration services to insurance firms changed hands at a floor price of Rs 612 apiece. The floor price of the deal implies a marginal premium from the previous closing price of Rs 611.40.
While Moneycontrol could not immediately verify the parties involved in the transaction, CNBC-TV18 reported on September 2 that promoter Bessemer India were looking to offload shares of Medi Assist Healthcare in a block deal, aimed at raising Rs 540.94 crore from the transaction.
Shares of Medi Assist Healthcare reacted positively to the block deal and surged 5 percent in early trade to hit a record high of 647.80. At 09.31 am, the shares were trading at Rs 626.50 on the NSE, sharply off its record high.
Promoter Bessemer India held a 29.22 percent stake in Medi Assist Healthcare Services as per the company's latest shareholding data. The CNBC-TV18 report also stated that the block deal will trigger a lock-in until July 18, 2025 for Bessemer India to execute any further stake sales.
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The stake sale also came just a week after the company announced plans to fully acquire Paramount Health Services & Insurance TPA at an enterprise value of Rs 311.8 crore, making this the one of the largest TPA ( Third Party Administrator) deals in India.
With this acquisition, Medi Assist TPA's market share will swell to 36.6 percent for the group segment and 23.6 percent of the health insurance industry, by premiums managed, the company said. Paramount TPA works with 30 insurers and over 3,000 group customers and retail policyholders.
"This strategic move strengthens our market leadership and aligns with our long-term vision of making quality healthcare accessible and efficient. I welcome the Paramount team to the Medi Assist family and to achieving greater milestones," Medi Assist CEO Satish Gidugu said.
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
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