Strategic investors in talks to buy majority stake in Vasan Healthcare

Mumbai (LiveMint) Nov 22
When the deal closes, it will be one the largest M&A transactions in the niche healthcare segment. Strategic investors, including a large local hospital chain, a global eye care brand and a couple of domestic corporations, are in talks to buy a majority stake in Vasan Healthcare Pvt. Ltd, which operates eye care hospitals, according to two people close to the development. One of them is directly involved in the deal.
“Though the talks are at a preliminary stage, the company has been valued at around Rs.4,000 crore. As premium is attached to strategic investments, the valuation may rise further,” said the person directly involved in the deal. “Vasan’s decision will depend on valuation and partnership.”
When the deal closes, it will be one the largest mergers and acquisitions (M&A) transactions in the niche healthcare segment. Vasan’s chairman A.M. Arun will continue to hold a minority stake in the company.
A Vasan spokesperson said the “company never sought an interest for a sellout transaction and that investors approached them on their own”. “A few guys came and talked and went back, we have not talked further with them,” he said on the phone.
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