Manipal Health wants to raise $852M via IPO in India

Manipal Health wants to raise $852M via IPO in India

Manipal Health Enterprises, a leading Indian hospital chain backed by Temasek, has filed for an initial public offering (IPO) to raise $852.24 million.

The company plans to issue new shares as part of the public offering.

Existing investors will also sell 43.2 million shares in the IPO, according to its draft prospectus.

Manipal Health's aggressive acquisition strategy

Bengaluru-based Manipal Health has been one of India's most aggressive healthcare consolidators in recent years.

Its latest acquisition was local peer Sahyadri Hospitals for $700 million.

However, the company's IPO plans come at a time when India's equity markets have been under pressure due to global risk-off sentiment, tightening liquidity conditions, and persistent foreign investor outflows.

Proceeds to be used for debt repayment, acquisitions

Manipal Health plans to use the proceeds from its IPO to repay outstanding borrowings and finance its acquisition of Sahyadri Hospitals.

The company is betting on the rapidly growing demand for specialized healthcare options in India, which analysts say will drive growth in the country's healthcare market.