Healthcare sector in India is poised to grow at fast pace and with the centre announcing new schemes in the sector, the industry will be able to cater to patients and people at large with a right kind of healthcare service model, said Sanjay Nayar, CEO and country head, KKR India.
Going forward, one will see more foreign capital flow into Indian healthcare if policies remain supportive, Nayar said.
"The private sector needs to step-up with good capital. We need to consolidate and need to bring in a lot of efficiencies,” he said.
Radiant Life Care and global investment firm KKR are set to acquire to acquire a majority stake in Max Health from Max India. KKR will hold 51.9 percent stake in the hospital combined entity.
The deal also includes Radiant Life's purchase of a 49.7 percent stake in Max Healthcare from South Africa-based hospital operator Life Healthcare International Proprietary Ltd.
"At a very broad level what is happening is that this results in a pure play healthcare listed entity as Max India will demerge its non-healthcare business and Radiant will basically buy out life healthcare in Max Healthcare,” Nayar said.
According to him, the listing would take about 8-12 months. KKR will be the co-promoter of the new entity, he said.
Radiant and Max will bring in a lot of efficiencies with synergies, better clinical service etc, said Nayar.