Mubadala, Brunei’s Sovereign Wealth Fund look to pick up a slice of Manipal Hospitals
Temasek is paring part of its controlling stake in Manipal Hospitals six months after it doubling down in the Bangalore headquartered hospital chain.
Temasek owned Sheares Health, is in advanced negotiations to sell 8-9% of its 59% interest in Manipal Health Enterprises to Abu Dhabi' fund Mubadala and the sovereign wealth fund of Brunei, Brunei Investment Authority (BIA), said people in the know.
The valuation of Manipal for this transaction is similar to that of the April trade which saw Temasek valuing the chain at Rs 40,000 crore ($5 billion). Post this transaction it will continue to remain the controlling shareholder with 51% stake.
TPG retains an 11% stake in the hospital chain and the founding promoters the Pai family – which founded India’s first privately owned medical college in Karnataka’s Manipal town in 1953 – continue to own 30% in Manipal Hospitals.
National Infrastructure Investment Fund (NIIF) fully exited in April selling their 8% stake in the hospital chain to Temasek.
“Temasek is rebalancing the portfolio by taking some money off the table. Also aligning with these funds that are also large LPs (limited partners) and include them in the cap table will help in future if large inorganic opportunities come by,” said a person aware of the developments.
Ranjan Pai chairman Manipal Education and Medical Group was unavailable for comment.
Temasek declined to comment. Mails to Mubadala and BIA did not generate a response till press time Thursday.
Mubadala has so far invested about $4 billion in India, largely in the telecom and retail companies owned by Reliance Industries and the renewable energy division of Tata Power. BIA has $73 billion of assets under management (AUM) and has been backed marque
