Temasek-backed Manipal Health Enterprises to meet bankers for $1 bn IPO: Report

If the company moves ahead with its listing plans, it would be one of the largest IPOs from healthcare sector in India.

Temasek-backed hospital chain Manipal Health Enterprises Ltd will meet bankers, seeking their pitches for a likely $1-billion initial public offering (IPO) in February, Livemint reported.

The news portal quoted sources to report that the company might go public over the next year with formal pitches from bankers is scheduled early next month.

If the company moves ahead with its listing plans, it would be one of the largest IPOs from the healthcare sector in India.

The IPO is likely to include a secondary offer-for-sale (OFS) and a “large” primary capital-raise, the report said. As part of OFS, existing shareholders will dilute their stake. The company is likely to raise primary capital, the report further said.

Moneycontrol couldn't independently verify the report.

Temasek and Manipal Group spokespersons declined to comment on the publication's email queries.

While the hospital chain was initially promoted by the education-to-healthcare conglomerate Pai family, private equity funds later picked up large stakes in the firm. Singapore sovereign wealth fund Temasek is now the largest shareholder in Manipal Hospitals, followed by the Pai family and TPG with a significant stake.

Temasek acquired a 41 percent stake in Manipal Health in April 2023 for more than $2 billion, valuing it at nearly Rs 40,000 crore.

Founded in 2010 by Ranjan Pai, the firm, also known as Manipal Hospitals, treats 7 million patients annually across 37 hospitals in 19 cities, including Bengaluru, Mangalore, Mysore, Vijayawada, Salem, Dwarka, Goa, Jaipur, Ghaziabad, Patiala, Pune and Kolkata, across 14 states.

Also Read | Manipal Hospitals enters Mumbai, picks up Khubchandani Hospital for Rs 415 cr