KKR Invests $400M in HCG

February 28, 2025 • Reading Time: 6 minutes

Hello,
Markets ended flat as investor caution persisted. While financial stocks offered some support, steep declines in realty and auto stocks kept the Nifty 50 and Sensex hovering near their previous levels. Since October 2024, the Nifty 50 has posted losses every month and appears set to do the same in February, as relentless selling by overseas investors continues. If the index closes lower this month, it will mark its first five-month losing streak since 1996.

In other developments, Blinkit has launched 10-minute delivery for Apple products in select cities. Today’s highlight features KKR’s investment in hospital chain HCG.

As of 28/02/25

  • Indian markets ended flat as cautious sentiment persisted, with Donald Trump’s tariff announcements weighing on investor confidence and limiting equity participation.

  • While financial stocks provided some support, sharp declines in realty and auto stocks kept the Nifty 50 and Sensex near previous levels. Broader markets saw heavy selling, leading to wealth erosion for retail investors.

  • Experts suggest retail investors, family offices, and HNIs are selling alongside FPIs, leaving domestic institutions to absorb the pressure.

Nifty 50

(0.01%)

22,545.05

BSE Sensex

0.01%

74,612.43

Nifty Bank

0.28%

48,743.80

Nifty IT

(0.47%)

38,946.65

Nifty Vix

(2.97%)

13.31

10 yr Bond

1.67%

6.818

USD>INR

0.23%

87.31

Source: Moneycontrol

CreditAccess Grameen +8.96%

  • Shares of microfinance lenders, including CreditAccess Grameen, Bandhan Bank, AU Small Finance Bank, and Fusion Finance, surged up to 18% after the RBI announced that microfinance loans classified as consumer credit would now carry a 100% risk weight, down from 125% earlier.

Prestige Estates (5.04%)

  • Prestige Estates led losses on the Nifty Realty index, plunging nearly 5% after Income Tax searches at its registered and branch offices.

  • Shares of Raymond, Mahindra Lifespace Developers, DLF, and Godrej Properties declined over 2% each.

  • What drives the surge in deal-making in India’s hospital sector? (ET)

  • Blinkit has begun delivering Apple products within 10 minutes in select cities. (BS)

  • Adani plans to take control of the retail business at its airports. (ET)

KKR’s $400M Investment in India’s Leading Cancer Care Chain

KKR is set to acquire up to 54% of Healthcare Global Enterprises (HCG), India’s largest cancer care hospital chain, for ₹3,465 crore ($400M). This move strengthens KKR’s presence in India’s healthcare sector, where it has previously invested in Max Healthcare, JB Chemicals & Pharmaceuticals, and Healthium Medtech.

Key Highlights:

📌 Strategic Expansion – KKR’s investment reflects its confidence in India’s growing demand for specialized oncology care.
📌 Market Leadership – HCG operates 25 centers across 19 cities with 2,500 beds, making it the leading cancer care provider in India.
📌 Potential Stake Increase – The deal includes an open offer for an additional 26%, potentially raising KKR’s ownership to 77%.

This acquisition underscores India’s healthcare sector’s rapid growth and KKR’s long-term commitment to its expansion.

There are no mainboard IPOs this week.

M&A / Investments

  • Moglix's parent company has infused $12 million into its Indian arm. (Inc42)

  • Boss Wallah has acquired edtech platform ffredom for $7 million. (BL)

VC

Category

Company

Amount

Fintech

Lorien Finance

₹19.5 crore ($2.2Mn)

Spacetech

Sisir

₹13 crore ($1.5Mn)

Spacetech

Astrogate Labs

₹11 crore ($1.3Mn)

Home Decor

Ritualistic

₹8.7 crore ($1Mn)

Nutrition

Earthful

₹5 crore ($575k)

Logistics

Pickkup

₹4.3 crore ($500k)

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