NIIFL invests Rs 2,100 cr in Manipal Hospitals

The National Investment & Infrastructure Fund Ltd (NIIFL) on Thursday announced investment of Rs 2,100 crore in Manipal Hospitals, through its direct private equity fund, Strategic Opportunities Fund (SOF).

This is the fund's first investment in the domestic healthcare sector and will support Manipal Hospitals' journey to become one of the largest high-quality multi-specialty hospital chains in the country.

While the transaction has been signed by both parties, deal closing is subject to necessary approvals, NIIFL said in a statement without disclosing how much equity it will be picking up in the hospital chain.

Bengaluru-headquartered Manipal Hospitals operates 15 hospitals with focus on tertiary and quaternary care. It had recently acquired Columbia Asia Hospital.

Through this investment in Manipal, the fund looks forward to playing a role in serving the healthcare needs of the nation, said Sujoy Bose, Managing Director & CEO of NIIFL. Ranjan Pai, Chairman of Manipal Education and Medical Group, said this investment will help it reach many more geographies and underserved communities with superlative clinical outcomes faster. NIIFL, a collaborative investment platform for international and domestic investors, anchored by the government, invests across asset classes such as infrastructure, private equity and other diversified sectors, with the objective to generate attractive risk-adjusted returns.

It manages over USD4.5 billion of equity capital commitments across three funds-- master fund, fund of funds and SOF -- investing respectively in operating assets in transportation and energy; climate infrastructure, middle-income and affordable housing, digital consumer platforms and other allied sectors, managed by others; and scalable businesses that are fundamental, strategic, and key growth enablers.

Manipal Hospitals is among the top five healthcare providers serving over 3 million patients annually and runs 11 tertiary/quaternary care facilities and four secondary care hospitals offering about 6,000 beds.

After the conclusion of its takeover of Columbia Asia Hospital, Manipal will be the second largest hospital network with over 7,300 beds, 27 hospitals, over 10,000 employees, and more than 4,000 doctors.