Ontario Teachers’ Pension Plan.
Manipal Hospitals Acquires Sahyadri Hospitals from Ontario Teachers’ in ₹6,400 Crore Deal: Mumbai, India – In a landmark transaction poised to reshape India’s healthcare landscape, Manipal Health Enterprises has announced the acquisition of a majority stake in Sahyadri Hospitals Group from the Ontario Teachers’ Pension Plan Board for a staggering ₹6,400 crore (approximately $768 million USD). This strategic move solidifies Manipal Hospitals’ position as a leading multi-speciality healthcare provider in the country and marks a significant exit for the Canadian pension fund from its 2022 investment in the Maharashtra-based hospital chain.
Ontario Teachers’ Pension Plan Board, a major global investor with net assets of $247.5 billion as of December 31, 2023, had acquired a significant majority stake in Sahyadri Hospitals Group in 2022. This Canadian pension fund is known for its diverse global investments across public and private equities, real estate, infrastructure, and fixed income.
Sahyadri Hospitals Group, headquartered in Pune, is recognized as the largest private hospital chain in the state of Maharashtra. It operates a network of 11 hospitals with over 1,400 beds, offering a comprehensive range of medical services and specializing in areas such as neurosciences, cardiology, oncology, and orthopedics.
Manipal Hospitals, already one of India’s pre-eminent multi-speciality healthcare providers, operates a vast network of 33 hospitals across the nation. This acquisition is expected to significantly bolster its presence in Western India and enhance its overall bed capacity and service offerings.
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Manipal Hospital.
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Legal Advisory Roles:
The complex stake acquisition involved extensive legal advisory from multiple prominent law firms.
Cyril Amarchand Mangaldas (CAM) advised Manipal Hospitals on this significant deal. The core transaction team was led by Senior Partner Reeba Chacko and Partner Kota Chandan. They received support from Principal Associate Astha Tambi, Senior Associate Anushka Sharma, and Associate Arundhati Diljit, with strategic insights provided by Senior Partner Nivedita Rao.
The comprehensive due diligence for Manipal Hospitals was managed by various specialized teams:
Due Diligence: Led by Kota Chandan, with support from Principal Associate Subhankar Pasalapudi, Senior Associate Anushka Sharma, Associates Sushant Khalkho, Akash Thomas Jose, Yash Chadha, Vishnu Mohan, and Consultant Aditya Gore.
Real Estate Due Diligence: Led by Partner Ritha Ulbyre, supported by Senior Associate Pavithra Rao, Associates Astha Krishna and Nitya Ravichandra, and Consultant Nishama Bhandari.
Financing Due Diligence: Led by Partner Lakshmi Prakash.
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Employment Due Diligence: Led by Partner Bishen Jeswant, with support from Principal Associate Akash Mishra and Associate Shivika Gupta.
Litigation Due Diligence: Led by Partner Sharan Kukreja, supported by Principal Associate – Designate Tanisha Sunil Kumar, Senior Associates Abhijna Somashekara and Prashasthi Bhat, and Associates Ajay TK, Lolita Crasta, Soundarya Rajagopal, and B Noor Ghousia.
Regulatory Due Diligence: Led by Partner Ashwin Sapra, with support from Principal Associate Kartik Jain, Senior Associate Kritika Asawa, and Associate Bhavya Kansara.
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Sahyadri Hospital.
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Additionally, Partners Pranav Sharma, Sangita John, and Hariharan Kumar provided assistance on financing-related aspects. Partners Avaantika Kakkar and Dhruv Rajain, with support from Senior Associate Rajat Sharma and Associates Vanya Agarwal, Pushkar Singh, and Ria Vora, advised on competition-related aspects. Partners Amita Gupta Katragadda and Shaishavi Kadakia, supported by Principal Associate Pratyush Khanna, Senior Associate Nayani Agarwal, and Associate Naomi Manoj, assisted on certain other legal aspects of the transaction.
Trilegal advised Ontario Teachers’ on the transaction. The Trilegal Corporate team was led by Partners Sanjam Arora and Vishal Sagar. They were supported by Partners Pallavi Banerjee (Banking & Finance), Kunal Shah (Real Estate), Gauri Chhabra (Competition), and Kanishka Maggon (Labour & Employment).
Latham & Watkins also advised Ontario Teachers’ on this stake sale. The international transaction team was led by Singapore partners Sidharth Bhasin, Michael Rackham, and Timothy Hia, with support from Singapore associates Andrew Lee, Chaitrika Bellana, Elisabeth Su-Li Ong, and Rebecca Wen Pei Han, and Hong Kong associate Yun Cao. Advice on tax matters was provided by London partner Simon Skinner, with London associate Thomas O’Malley. Notably, Latham & Watkins had also advised Ontario Teachers’ on its initial acquisition of this stake in 2022.
This acquisition underscores the continued consolidation and growth in India’s healthcare sector, driven by increasing demand for quality medical services and strategic investments by major healthcare providers.
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