Healthcare major Apollo Hospitals Enterprise Ltd (AHEL) on Friday (September 27) said it has finalised a strategic agreement with Rasmeli Ltd, an affiliate of Advent International, to sell a 16.9% stake in its material subsidiary, Apollo Healthco Ltd (AHL).

The deal, valued at ₹2,475 crore, will be executed in two tranches, reducing Apollo Hospitals’ stake in Apollo Healthco from 94.91% to 78.879%, on a fully converted basis.

In the first tranche, Rasmeli will acquire ₹2,47,50,00,000 worth of Class B fully and compulsorily convertible non-cumulative participating preference shares (Class B CCPS), at ₹25 per share.

The remaining ₹7,42,50,00,000 will be paid in the second tranche, completing the acquisition of Class B CCPS valued at ₹9,90,00,00,000. Additionally, Rasmeli will purchase Class A CCPS worth ₹14,85,00,00,000.

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The deal also includes Apollo Healthco’s acquisition of an 11.2% stake in Keimed from Shobana Kamineni, a promoter of Apollo Hospitals, for ₹625.43 crore, along with an investment of ₹99.99 crore into Keimed. Following this, Keimed will be amalgamated with Apollo Healthco.

The transaction is set to be completed under the terms outlined in the investment agreement, with the final tranche scheduled upon the board of Apollo Healthco’s call for the remaining investment.

Apollo Hospitals posted an over 83% jump in its consolidated profit after tax to ₹305 crore for the first quarter of FY25, boosted by robust performance across verticals. The PAT came in higher than a CNBC-TV18 poll estimate of ₹274 crore. The healthcare firm had reported a PAT of ₹166.6 crore in the same period a year ago.

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Apollo Hospitals’ revenue rose more than 15% to ₹5,086 crore in the first quarter of FY25 against ₹4,417.8 crore in the April-June quarter of last fiscal. The CNBC-TV18 poll had estimated revenue at ₹5,077.7 crore.

On the operational front, Apollo Hospital’s EBITDA (earnings before interest, taxes, depreciation, and amortisation) rose over 32% to ₹675 crore, while the margin also jumped by 180 basis points to 13.3% in the quarter.

Shares of Apollo Hospitals Enterprise Ltd ended at ₹7,239, up by ₹75.10, or 1.05%, on the BSE.

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