Birla Fertility acquires ARMC IVF; to spend ₹500 crore on further expansion

livemint.com:

NEW DELHI : Birla Fertility & IVF, part of the $2.9 billion CK Birla Group, on Wednesday announced the acquisition of an 86% stake in ARMC IVF, a Kerala-based chain of fertility centres, for an undisclosed amount. Industry sources estimate the deal value to be below ₹100 crore. The transaction was financed through internal accruals.

This move marks the Birla Fertility's entry into southern India. According to the management, this acquisition positions the firm to become one of the top three IVF networks in the country. Birla Fertility will integrate ARMC’s seven centres located across Kerala, Karnataka, and Tamil Nadu.

“With the inclusion of ARMC’s seven clinics, we expand our network to 37 centres, further solidifying our presence," Avanti Birla, founder, Birla Fertility & IVF, CK Birla Healthcare, told Mint. This acquisition aligns with Birla Fertility’s ambition to expand its footprint to 100 clinics by fiscal year 2027-28 (FY28), with an investment exceeding ₹500 crore. The company plans to achieve this growth through a mix of organic expansion, inorganic growth, and partnerships.

Currently, the company operates 30 centres across 27 cities in 15 states. Post-acquisition, this will increase to 37 centres in 31 cities. India is home to over 28 million couples facing fertility challenges, yet less than 1% seek assistance.

The IVF segment's growth will be driven by increased awareness and improved access to top-tier treatment nationwide, the company said. Akshat Seth, vice chairman of CK Birla Healthcare, said that the company will continue to expand and consolidate its position in southern India, aiming to open 15-20 more centres in the region over the next three to four years. "Furthermore, we will be able to expand