India’s Manipal Hospitals has signed a definitive agreement with Multiples Private Equity Fund for the acquisition of a 100% stake in Vikram Hospital, in a deal valued at $47.92m (Rs3.5bn).

Vikram Hospital, which was established in 2009 in Bengaluru, a city in the Indian state of Karnataka, is a 200-bed tertiary care facility located in the central business district.

Manipal Education and Medical Group chairman Dr Ranjan Pai said: “Manipal Hospitals has been the top ranked healthcare provider in Bengaluru for over two decades and this addition is reiteration of our commitment to meet the healthcare needs of the city and the region.

“There are two greenfield hospitals that are currently under construction and once they are complete in the next 24 months, our network of 12 hospitals with over 2,300 beds would be best placed to provide ease of access and comprehensive care to everyone across this fast growing city.”

With the addition of Vikram Hospital, Manipal Hospitals now has 27 hospitals offering more than 7,300 beds. It also has a pool of 4,000 doctors.

For the deal, Allegro Capital acted as financial advisor to Manipal Hospitals while PwC served as financial and tax diligence advisor and Trilegal as legal advisor.

Manipal Group further plans to expand its footprint in eastern India.

Multiples Private Equity Fund founder, managing director and CEO Renuka Ramnath said: “We are very pleased that we are handing over this marquee asset to an extremely worthy Manipal Hospital Group.”

In April this year, Manipal Hospitals acquired Columbia Asia Hospitals in a deal valued at $287m (Rs21bn).