US private equity major KKR will sell its entire 27 percent stake in hospital chain Max Healthcare on August 16, and is likely to raise Rs 9,000 crore through the transaction.
The stake sale, via a block deal, will be executed through Kayak Investment, which is the KKR-affiliated entity that has invested in the healthcare company.
The company would be offloading a total of 26.7 crore shares it holds in Max Healthcare, at a price band of Rs 350-361.9 per share, as per the deal terms released on August 15.
The base offer is for around 20 percent stake or 19.3 crore shares, and the upsize option is for the remaining 6.83 percent stake or 6.6 crore shares, it added. The total deal value is estimated to be of approximately Rs 9,416 crore at the upper end.
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The shares in Max Healthcare were acquired by KKR in 2018, along with Mumbai-headquartered Radiant, at Rs 80 apiece.
As of June last year, Kayak Investments held 45.63 crore shares or 47.24 percent stake in Max Healthcare. On September 29, 2021, the company sold 8.44 crore shares for Rs 2,956 crore through open market transactions. The shares were picked up by HDFC Mutual Fund, Veritas Funds Plc and SBI Mutual Fund, among others.
The KKR-affiliate sold another 10 percent stake in the company for nearly Rs 3,300 crore in March 2022. The buyers included SBI Mutual Fund, Pension Fund Global and Smaller Cap World Fund.
On August 12, the shares of Max Healthcare closed 2.74 percent lower at Rs 361.55 apiece on the BSE.