Apollo Hospitals

Apollo Hospitals Enterprise will purchase IFC's 30.8% stake in subsidiary Apollo Health and Lifestyle (AHLL) for ₹1,254.07 crore in an all-cash transaction at ₹301.09 per share. This acquisition will increase Apollo's ownership in AHLL to 99.42%. AHLL reported turnover of ₹1,553.5 crore in financial year 2025. Apollo stated the acquisition enables sharper capital allocation and greater focus on high-potential segments. Additionally, Apollo is establishing a comprehensive oncology facility in Gurugram for ₹573 crore as part of a 500-bed hospital, scheduled for completion in financial year 2029. The facility will feature Single Gantry Proton Proteus One System technology, marking India's third proton therapy installation. Apollo aims to double oncology therapy revenue to ₹5,000 crore within three to four years. Nomura maintains a neutral rating with a target price of ₹6,856, representing a 12.8% downside from the previous closing price of ₹7,864.5. Among 32 analysts covering the stock, 28 have buy ratings, three hold, and one sell. Apollo shares closed 0.19% lower in the previous session but have gained 25.9% over six months.

Apollo Hospitals Enterprise Limited's board approved the acquisition of a 30.58% stake in its subsidiary Apollo Health and Lifestyle Limited (AHLL) from International Finance Corporation (IFC) and IFC EAF for ₹12,540.68 million. The acquisition price is ₹301.09 per share for 41,650,368 equity shares. Following completion, AHLL will become a 99.42% subsidiary with the remaining 0.58% in the ESOP pool. The transaction requires Competition Commission of India approval and is expected to complete by November 2025. AHLL operates specialty hospitals, clinics, diagnostic centers, and dental facilities with a turnover of ₹15,535 million for the year ended March 31, 2025. Additionally, Apollo approved setting up a comprehensive oncology facility in Gurugram with a ₹5,730 million investment, featuring a Single Gantry Proton Proteus One System. The facility will add capacity to treat an additional 350 patients annually by 2029, funded through internal accruals. Apollo aims to double its oncology business scale to over ₹5,000 crore in 3-4 years.

Suneeta Reddy, Managing Director of Apollo Hospitals Enterprise Limited, stated that India's healthcare tourism could offset negative impacts from US tariffs on India. Speaking at the 52nd National Management Convention of AIMA, Reddy highlighted a $100 billion opportunity in healthcare tourism, suggesting that capturing 20% of this market worth $20 billion by 2030 could compensate for tariff losses through medical value travel. She emphasized India's premium healthcare infrastructure delivers clinical outcomes at one-tenth of international costs and called for better connectivity with countries lacking advanced healthcare systems. Reddy advocated for GST input cost reforms similar to the education sector and welcomed recent GST rate cuts, linking them to personal income tax reductions that have increased consumer spending on insurance, education, and health. She noted that GST cuts on construction materials like bricks, granite, and marble will reduce healthcare infrastructure costs.