Classification: Other Corporate Update (Subsidiary Funding)

Nature of Update:

The Renewable Energy and Subsidiary Investment Committee (RESIC) of Max Healthcare Institute Limited approved an infusion of funds into its subsidiary, Kalinga Hospital Ltd. (KHL), through a rights issue subscription.

Key Operational or Strategic Points:

  • The investment amount is approximately ₹87.87 Crore
  • Funding will be used to support KHL's capital expenditure and modernization programme
  • Objectives include strengthening KHL's clinical and operational capabilities
  • Funds will help optimize KHL's capital structure
  • Additional purposes include meeting general corporate requirements of KHL
  • Transaction is exempt from related party transaction requirements under SEBI LODR Regulations
  • No promoter/promoter group/group companies have any interest in KHL beyond the Company's existing shareholding

Material Financial Impact:

  • Cash outflow of ₹87.87 Crore from Max Healthcare Institute Limited
  • Investment made through subscription to equity shares on rights basis
  • KHL's financial metrics as disclosed:
  • Paid-up Capital: ₹21.54 Crore
  • Revenue from Operations during FY 2025-26: ~₹155.64 Crore

Timeline:

  • The acquisition is expected to be completed within the next 15 days from September 3, 2026
  • RESIC meeting was held on September 3, 2026, commencing at 2:50 pm IST and concluding at 3:22 pm IST

Approval Status:

  • Approved by the Renewable Energy and Subsidiary Investment Committee (RESIC)
  • RESIC is a duly authorized Committee by the Board of Directors of the Company
  • No governmental or regulatory approvals required for this acquisition

Reference Regulation:

  • SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 - Regulation 30