Max India sold its entire 51% stake in Max Bupa Health Insurance Co Ltd to private equity firm True North Fund for over Rs 510 crore. Earlier, it was in talks with HDFC Life to merger its life insurance business Max Life. But that failed as the insurance regulator objected to the proposed deal.

In fact, Max Bupa’s divestment follows Analjit Singh-owned company’s composite transaction involving demerger of Max India and the merger of Max Healthcare with Radiant-KKR. In the business community, savy Analjit Singh is known as a serial entrepreneur, who builds and sells his businesses. He has the ability to spot an opportunity in business like he did with telecom where he made Rs 561 crore in 1998 by selling his 41% stake in a joint venture with Hutchison Whampoa Ltd and insurance and healthcare early on, and more than that to quit when the business is on the top.

Max India Ltd. (MIL) is a listed company engaged in business of health and allied businesses. It holds stake in Max Healthcare, Max Bupa Health Insurance and Antara Senior Living. Max Healthcare and Max Bupa Health Insurance are joint ventures with global leaders Life Healthcare (South Africa) and Bupa Finance Plc. (UK), respectively. The Company owns 49.70% in Max Healthcare, a 51% in Max Bupa Health Insurance and a 100% in Antara Senior Living.

Max Healthcare Institute Ltd. (MHIL) is one of the leading comprehensive providers of standardized, seamless and international-class healthcare services. Max Healthcare has 14 facilities in North India, offering services in over 30 medical disciplines. Of this, 11 facilities are located in Delhi & NCR and the others in Mohali, Bathinda and Dehradun. Max Healthcare has a base of over 3,000 doctors, 10,000 employees and over 2.2 million patients from over 80 countries, across its network of 14 hospitals. MIL holds 49.7% stake in MHIL.

Radiant Life Care Pvt. Ltd. (Radiant) is promoted by Abhay Soi and is in the business of developing/redeveloping hospitals to provide high-end quaternary care. Presently, Radiant has two iconic facilities in its portfolio namely: BLK Super Specialty Hospital, Delhi and Nanavati Super Specialty Hospital, Mumbai.

Advaita Allied Health Services Ltd. (Advaita), Transferee Company, is Wholly Owned Subsidiary of MIL. The company has been formed especially for the current transaction.

Existing Group Structure:

MAX-Group-Restructuring-stake-sell-PE-1

Proposed Transaction:

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