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Apollo Hospitals holding company buys shares worth Rs 87 cr

PCR Investments bought 10 million shares at a price of Rs 876.67 a share

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T E Narasimhan Chennai
Last Updated : Dec 24 2013 | 7:23 PM IST
Apollo Hospitals promoter family’s holding company PCR Investments has bought shares worth Rs 87.66 crore in Apollo Hospitals Ltd.

According to National Stock Exchange (NSE) data PCR Investments bought 10 million shares at a price of Rs 876.67 a share.

In September, Apollo Hospitals announced that it is raising around Rs 550 crore from US-based PE firm Kohlberg Kravis Roberts (KKR). The money will be used to repay promoters’ debt and build more hospitals.

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The long-term investment by KKR, together with its affiliates and select investors, in PCR, the holding company for the Apollo Hospitals Group. The investment is in the form of a five year callable security that consolidates existing debt at PCR and initiates a partnership in the healthcare sector across the two firms.

The Reddys—the promoter family of Apollo Hospitals—hold around 34.35% stake in the company, of which 18.42% stake is held by PCR Investments while the rest is with individual family members, as of September 30, 2013.

The current market capitalisation of Apollo Hospitals is around Rs 12,451 crore and given the current market value of shares held by PCR Investments, if KKR would convert its debentures into equity shares, it would hold around 4.5% stake in Apollo Hospitals. It would concurrently bring down the promoters holding in the firm.

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First Published: Dec 24 2013 | 7:19 PM IST

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