Manipal Hospitals to Launch $1 Billion Initial Public Offering

Manipal Hospitals to Launch $1 Billion IPO Next Week

Manipal Health Enterprises Pvt., the parent company of the Manipal Hospitals chain, is set to initiate formal marketing for its planned initial public offering (IPO) as early as next week, with the goal of raising over $1 billion. According to sources familiar with the matter, the Temasek Holdings Pte.-backed company aims to reach a valuation of approximately $12 billion through a series of meetings with domestic and international investors.

The IPO deliberations are ongoing, and details such as the offering size and timing may still undergo changes. Manipal Hospitals' representative has not yet responded to requests for comment.

As the Indian equity markets continue to recover from recent declines linked to geopolitical tensions in the Middle East and government efforts to stabilize the fiscal outlook, the proposed share sale is gaining momentum. The company filed its draft prospectus with India's market regulator in March.

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The proposed share sale includes a secondary offering of up to 43.23 million shares, representing approximately 3.66% of the company's existing stake, as well as a fresh issue of shares worth approximately 80 billion rupees ($960 million). The selling shareholders in the secondary portion include notable investors such as TPG, Temasek, Ammar Sdn. Bhd., Novo Holdings Invest Asia, Phoenix Bear Investments LLC, Seventy Second Investment Company LLC, and Manipal Education and Medical Group India Pvt. Ltd.

Manipal Hospitals is working with a team of advisers, including Kotak Mahindra Capital Co., Axis Bank Ltd., and the local units of Goldman Sachs Group Inc., JPMorgan Chase & Co., Jefferies Financial Group Inc., UBS Securities, and DBS Bank Ltd., on the potential listing, as per the prospectus.