- Thursday, April 25, 2024
By: Shubham Ghosh
HINDUJA Global Solutions (HGS) has announced the sale of its healthcare services business to Baring Private Equity Asia for an enterprise value of $1.2 billion (£867.3 million).
The transaction subject to closing adjustments is likely to complete within 90 days, subject to approvals – shareholder and other regulatory ones.
“Our healthcare services business has steadily grown over the years. We reached a stage where we could recommend to the promoter to divest stake in this business to unlock value for all HGS stakeholders,” HGS chief executive officer Partha DeSarkar said.
The healthcare services vertical has more than 20,000 employees across four geographical regions – India, the United States, the Philippines and Jamaica – and recorded revenues of $400 million in FY2021.
It was learned that after the completion of the transaction, HGS will transfer all client contracts, employees and assets, including infrastructure related to the healthcare-services business.
DeSarkar also said the company will use the generated funds to strategically invest for the organisation’s future growth.
“We see a long-term value and benefit to HGS in doing so. The company will continue to focus on aggressively expanding its consumer engagement solutions and digital businesses in line with our goal to transform itself into a digitally-enabled customer experience company,” he said.
HGS is the business-process management entity of Hinduja Group, one of India’s frontline diversified and transnational conglomerates with more than two lakh employees and presence across 38 nations.
