Max Healthcare acquires controlling stake in Orissa hospital for ₹300 crore

Max Healthcare Institute has said that it has acquired a controlling 58.4 per cent stake in Kalinga Hospital from Hospital Corporation of Orissa Inc. for ₹300 crore.

The 250-bed hospital is built on a ~10-acre land parcel at Maitri Vihar, Bhubaneswar, and provides care across specialties including neurology, cardiology, orthopaedics, gastroenterology, renal sciences and oncology.

Max Healthcare plans to revamp and modify the hospital’s existing infrastructure to enhance efficiency, patient experience, and clinical capabilities. For this it has offered the hospital an unsecured loan of ₹100 crore, of tenure up to 10 years with a moratorium of two years, and at an interest rate of 9 per cent per annum.

Max has also issued a corporate guarantee of $5 million [~₹46 crore] to refinance existing External Commercial Borrowings of the existing promoters at Kalinga Hospital.