Fortis acquires People Tree Hospital in Bengaluru for ₹430cr
What's the story
Fortis Healthcare has announced its decision to acquire Bengaluru's People Tree Hospital for ₹430 crore. The acquisition will be done through a 100% stake purchase of TMI Healthcare Pvt Ltd, the company that runs the People Tree Hospital brand. The deal also includes an adjacent land parcel of 0.8 acres, which could allow Fortis to expand the hospital's capacity beyond 300 beds.
Expansion plans
Fortis plans significant investment in People Tree Hospital
The acquisition will be executed by Fortis's wholly-owned subsidiary, International Hospital Limited (IHL). Along with the purchase, Fortis also plans to invest an additional ₹410 crore over three years. This investment is aimed at enhancing bed capacity, upgrading medical equipment, and expanding clinical programs such as radiation oncology. "The acquisition is in line with our vision to expand our footprint in focused clusters," said Ashutosh Raghuvanshi, MD and CEO of Fortis Healthcare.
Market impact
Fortis's acquisition strengthens its position in Bengaluru
The acquisition is a strategic move that will further strengthen Fortis's foothold in the Bengaluru market. The company already has a strong presence with seven facilities across the city. "We can scale up to over 1,500 beds from 900 beds currently," Raghuvanshi said. This deal is expected to leverage People Tree's established multispecialty services and enhance healthcare offerings in the region.