Fortis Healthcare Acquires People Tree Hospital in INR 430 Cr Deal Fortis Healthcare plans to invest an additional INR 410 crore over the next three years to expand bed capacity, upgrade medical infrastructure, and strengthen clinical programs at the Yeshwanthpur hospital.
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Fortis Healthcare has announced plans to invest around INR 840 crore to add more than 300 beds in Bengaluru as part of its expansion strategy in the city.
The company has signed definitive agreements to acquire People Tree Hospital in Yeshwanthpur for a cumulative transaction value of INR 430 crore, including existing debt. The acquisition will be carried out through Fortis Healthcare's wholly owned subsidiary, International Hospital Limited.
The deal involves a 100 percent acquisition of TMI Healthcare Private Limited, under which People Tree Hospital Yeshwanthpur operates. Along with the operating company, International Hospital Limited will also acquire the hospital building, the underlying land from the promoters, and an adjacent land parcel from an independent third party.
The transaction is subject to customary closing adjustments and is expected to be completed by the end of January 2026, subject to conditions precedent.
People Tree Hospital Yeshwanthpur is a 125 bedded multi specialty hospital located in North West Bengaluru. The NABH accredited hospital offers services across cardiac sciences, orthopedics, neuro sciences, renal sciences and gastroenterology.
The acquisition of the adjacent land parcel of about 0.8 acres gives Fortis the ability to expand the hospital to over 300 beds. The company plans to invest an additional INR 410 crore over the next three years to strengthen infrastructure, add medical equipment and introduce advanced clinical programs, including radiation oncology. The hospital currently generates revenues of approximately INR 74 crore in FY25, and Fortis expects scope to enhance both revenues and profitability as expansion progresses.
Dr Ashutosh Raghuvanshi, MD and CEO of Fortis Healthcare, said, "The acquisition is in line with our vision to expand our footprint in focused clusters and enables us to leverage the benefits of scale and synergies. It will further strengthen our position in the Bengaluru market, where we already have a significant presence."
Dr Jothi Neeraja, Founder, MD and CEO of People Tree Hospitals, said, "The strategic transition to Fortis Healthcare marks a pivotal milestone in our journey. With Fortis' resources and clinical programs, People Tree Hospital Yeshwanthpur is poised to reach new heights while continuing its commitment to ethical and patient centric care."
With this acquisition, Fortis aims to scale its Bengaluru presence to over 1,500 beds across seven facilities over the next three years.
