Pave way for a new Max India! The Group sets June 15 for demerger; to list healthcare biz soon

Post demerger, both Max Healthcare and the new ‘Max India’ are expected to be listed on the Indian stock exchanges in August 2020.

Jun 01, 2020 04:06 IST India Infoline News Service

Max India on Monday received approval from the National Company Law Tribunal (NCLT) on their healthcare assets to be merged in Max Healthcare. The scheme will commence through the demerger of the residual businesses of Max India into Advaita, a wholly-owned subsidiary of Max India. 

The Max Group has set a record date of June 15, to carry the demerger of Max India, where all the shareholders of the latter will be allotted with  shares of Max Healthcare and Advaita Allied Health
Services.

The composite scheme is declared effective starting 1 June 2020.

Post demerger, both Max Healthcare and the new ‘Max India’ are expected to be listed on the Indian stock exchanges in August 2020.

Analjit Singh, Founder & Chairman, Max Group, said, “The demerger will enable Max India to focus on the high potential category of Senior Care. The Max Group has had a track record of redefining sectors and in turn creating value for its shareholders."

According to Max India, such marks significant progress for the comprehensive scheme that involves a series of transactions including demerger of Radiant’s healthcare assets into Max Healthcare.

Also, the scheme will result in  KKR backed Radiant Healthcare acquiring a majority stake in Max Healthcare and the listing of the combined Max Healthcare and the new ‘Max India’.

Further, the new Max India will hold two businesses of the Max Group namely  Senior Care business ‘Antara’ and a skilling company, ‘Max Skill First'.

With the new combination of  Radiant and Max Healthcare, the Max Group will create the second-largest hospital network in India by revenue.

Together, the merged entities will operate  3,500 beds throughout 17 hospitals and medical centres across India, including tertiary and quaternary care facilities offering high end critical and super speciality care supported by strong local brands such as BLK Hospital, Max Saket Hospital, Max Smart Hospital, Max Patparganj Hospital, and Nanavati Hospital.

The parent expects  to provide significantly growth potential and compelling business synergies from the combined businesses.

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