Global investment firm KKR has announced the acquisition of a controlling stake in Healthcare Global Enterprises (HCG) for approximately USD400 million. The deal, executed through definitive agreements with private equity firm CVC, will make KKR the largest shareholder in HCG, assuming sole control of the company’s operations. As part of the transition, HCG’s founder, Dr. BS Ajaikumar, will take on the role of Non-Executive Chairman, focusing on clinical, academic, and research initiatives.
Under the terms of the agreement, KKR will acquire up to 54% equity in HCG from CVC Asia V at a purchase price of INR 445 per share. In compliance with the Securities and Exchange Board of India (SEBI) Takeover Regulations, KKR will also conduct an open offer to purchase additional equity shares from public shareholders. Upon completion, KKR’s stake in HCG is expected to range between 54% and 77%.
HCG, founded in 1989 and headquartered in Bengaluru, is one of India’s largest oncology hospital chains, operating 25 medical centers across 19 cities. The network includes 2,500 hospital beds, nearly 100 operating theaters, and 40 linear accelerator machines (LINACs), positioning it as a leader in specialized cancer care. HCG offers cutting-edge cancer diagnosis and treatment, ensuring accessibility to high-quality care for millions across the country.
Commenting on the acquisition, Akshay Tanna, Partner and Head of India Private Equity at KKR, stated, “HCG is a pioneer in cancer care in India and has established itself as a leading healthcare provider over the past three decades. As healthcare remains a key focus for KKR in India, this investment will support the expansion of medical infrastructure and enhance oncology services across the country. We look forward to leveraging KKR’s global expertise to strengthen HCG’s offerings and working with Dr. Ajaikumar to advance clinical excellence.”
Dr. Ajaikumar expressed gratitude to CVC for its support and welcomed KKR as a strategic partner. “Patient well-being and clinical excellence remain our top priorities at HCG. In my new role, I will focus on advancing multi-disciplinary cancer care, research, and academic initiatives. I look forward to HCG continuing to lead in clinical innovation and patient outcomes,” he said.
Siddharth Patel, Managing Partner at CVC, highlighted the firm’s contribution to HCG’s growth, stating, “We are proud to have supported HCG’s transformation into one of India’s leading healthcare organizations, ensuring high-quality cancer care for thousands of patients.” Amit Soni, Partner at CVC, added that the partnership with Dr. Ajaikumar and the management team had played a key role in expanding cancer care accessibility in India.
KKR’s investment in HCG will be made through its Asia Fund IV, marking the latest addition to its portfolio of healthcare investments in India. The firm has previously invested in Baby Memorial Hospital, Healthium, Infinx, Max Healthcare, JB Pharmaceuticals, and Gland Pharma.
The acquisition is expected to close by the third quarter of 2025, pending customary regulatory approvals and closing conditions.