Mumbai: US private equity firm Advent International is in talks with Carlyle Group and three separate healthcare providers to sell its 72 percent stake in India`s CARE Hospitals for $250 million to $300 million, two sources with direct knowledge of the matter said.
The talks are also being held with Malaysia`s IHH Healthcare Bhd , India`s Manipal Hospitals and Fortis Healthcare , the sources added, declining to be identified because the information has not been made public.
"The formal process is on. We have seen initial interest and this will take a few months to conclude," said one of the sources.
Advent, Carlyle and IHH declined to comment, while Manipal and Fortis did not respond to Reuters` emails seeking comments.
Advent bought its 72 percent stake in CARE Hospitals in 2012 for $105 million. The chain operates 17 hospitals in nine cities across India. The remaining 28 percent stake is currently held by a group of Indian doctors.
Interest in Indian private hospital chains has increased as public spending in healthcare has remained low, resulting in a dilapidated network of government hospitals and clinics, especially in rural areas.
IHH has been especially active in looking to invest in India. Last month, it bought a 51 percent stake in India`s Continental Hospitals Ltd for $45.4 million, and also owns an 11 percent stake in the largest Indian hospital chain, Apollo Hospital Enterprise .