India's Max Healthcare bags $165m in fundraising round

Proceeds will be used partly for meeting the company’s capital spending.

India’s private hospital operator Max Healthcare (MHC) has raised around $165m (INR1,200 Cr) in a Qualified Institutions Placement (QIP) of around 61.41 million fresh equity shares of face value of $0.14 (INR10) per equity share, according to a press release.

The company is looking to use the net proceeds for meeting its capital expenditure and working capital requirements, including expansion of capacity, increasing stake in existing or future subsidiaries, etc. It may also use part of the proceeds for repayment of debt and for general corporate requirements or any other purposes as maybe permissible.

The QIP opened on 4 March and closed on 9 March. The issue saw keen interest from global and domestic investors including international and domestic mutual funds, insurance companies and other investors.

The issued and subscribed equity share capital of MHC stands at about 965.95 million equity shares.

Prior to the issue, the public shareholding of MHC stands at 29.54%. However, this includes 4.82%, which is not currently considered for compliance towards the minimum public shareholding threshold under SEBI regulations for listed companies.