KKR to acquire 49% stake in Radiant Life for USD200 million

KKR to acquire 49% stake in Radiant Life for USD200 million

KKR, one of the world’s largest investment company said it will spend USD200 million to acquire 49% stake in Radiant Life Care.

KKR said Radiant’s management team and the Company’s promoter, Abhay Soi, Chairman and Managing Director of Radiant, will expand the Company’s footprint across India to make high-quality health care services more accessible to customers across the country and from overseas.

Radiant Life Care develops and operates high-end, state-of-the-art quaternary care facilities in India. The Company refurbishes hospitals and enhances their operations through initiatives such as the introduction of high-end specialty services, recruitment of experienced medical professionals, reengineering processes, capacity expansion and by modernizing facilities for improved care giving and patient experiences.

Radiant’s facilities include BLK Super Speciality Hospital (“BLK”) in New Delhi and the Nanavati Super Speciality Hospital in Mumbai, both of which have been rebuilt and re-launched since being acquired by the Company. Radiant is one of the few established companies managing hospitals in the leading metropolitan areas of Mumbai and Delhi that offer high-end quaternary care, including vital organ transplants. Its hospitals offer some of the largest bone marrow transplant units in the world.

KKR’s investment in Radiant continues the firms’ partnership, as KKR has previously extended financing to Radiant to support the Company’s growth. KKR makes the proposed investment from its KKR Asian Fund III.

Abhay Soi said, “As a student of finance, I once dreamt of working for KKR, and therefore partnering with them today is a watershed moment for me. KKR has been a long-term partner to Radiant and we are very excited to deepen our relationship with the firm, which shares our vision for health care excellence in India. KKR has more than two decades of experience investing in and working alongside health care companies, and with their expertise, we look forward to expanding our business. I welcome Sanjay and Nikhil on our board and the immense value they bring to us.”

Sanjay Nayar, Member of KKR and CEO of KKR India, said, “This is an exciting time for health care in India given the growing demand for superior medical treatment. In this industry, scale and operating leverage are increasingly important, and Radiant has a unique opportunity to acquire assets during a time of industry consolidation. KKR is focused on providing long-term capital solutions to experienced health care partners like the Radiant team to continue their work to deliver high-quality care and services.”

Nikhil Srivastava, Director at KKR, added, “We are impressed with the work of Abhay and his team in creating efficient and high-quality centers of medical care. Radiant has seen strong growth over the past five years. We look forward to supporting the next phase of growth and expansion.”

KKR has invested more than US$3 billion through its private equity practice in India since 2006. The firm is extensively engaged in the operations and strategies of its portfolio companies to provide resources and advice to accomplish shared goals. KKR’s private equity portfolio in India includes, but is not limited to, Aricent, Bharti Infratel, Avendus Capital, Cafe Coffee Day, Emerald Media, Magma Fincorp, Max Financial Services, and SBI Life. In addition to a strong private equity practice, KKR is highly focused on credit, capital markets and real estate opportunities in India.