KIMS Hospital to acquire majority 51% stake in Kingsway Hospitals, Nagpur

30 Aug 2022 , 09:15 AM

Krishna Institute of Medical Sciences (KIMS) revealed that it has entered into a formal agreement to buy a majority stake of 51% in M/s SPANV Medisearch Lifesciences Private Limited, Nagpur, which operates a multi-specialty hospital called “Kingsway Hospitals” with over 300 beds.

Existing promoters and stockholders will retain 49% ownership of the company. The hospital will be renamed “KIMS Kingsway Hospitals” upon the acquisition.

The existing hospital facilities provide the potential to increase bed capacity as needed in the future with minimum capital expenditure.

The transaction will be finalized with an infusion of Rs80 crore into the firm, which will be used to pay off current debts and partially to improve the Balance Sheet.

“KIMS’ extensive expertise running multi-specialty hospitals and turning them around will enable the current purchase to swiftly achieve peak operational efficiency and create value for our shareholders,” stated company in media reports.

The transaction highlights the KIMS group’s dedication and expertise to discovering possible acquisitions in designated areas using the Doctor partnership model and effectively collaborating with a varied collection of clinical/administrative skills.

The purchase is the second in the company’s determined and well-articulated strategy to develop its footprint in Maharashtra through solid collaborations with local management and doctors.

At around 9.18 AM, Krishna Institute was trading 3.07% higher at Rs1,226.95 against previous close of Rs1190.35 on NSE.

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