Unihealth Hospitals share price was locked in the 5% upper circuit on Monday, July 6, after the company announced that its Board of Directors had approved the acquisition of an additional 49.81% equity stake in Victoria Hospital Limited (VHL), Uganda, through a strategic share swap transaction, according to the company’s exchange filing.
As per the filing, upon completion of the transaction and receipt of the necessary shareholder and regulatory approvals, Unihealth Hospitals’ stake in Victoria Hospital will increase from 50% to 99.81%, making the Ugandan healthcare provider an almost wholly owned subsidiary.
The company said the acquisition marks a significant milestone in its international expansion strategy by consolidating ownership of one of its fastest-growing and most profitable overseas assets. It added that the transaction will allow substantially all future economic benefits generated by Victoria Hospital—including earnings, cash flows and long-term value creation—to accrue directly to Unihealth Hospitals’ shareholders.
According to the exchange filing, the acquisition will be executed through the issuance of 12.5 lakh fully paid-up equity shares of Unihealth Hospitals on a preferential basis to the existing shareholders of Victoria Hospital—Bhasker Kotecha and Dr. Chirag Kotecha—in exchange for their aggregate holding of 2,55,544 equity shares, representing 49.81% of Victoria Hospital Limited.
