Funding News
India's Biggest Healthcare IPO Ever Is Coming: Manipal Hospitals Files ₹8,000 Crore DRHP With SEBI
By Mustafa Shariff, Editor in chief · April 11, 2026 · 5 min
Summary
- Manipal Hospitals has filed its DRHP with SEBI for a ₹8,000 crore IPO — the largest in Indian healthcare history. Here is everything about the filing, what the proceeds fund, and what this listing means for the sector.
India's public markets are about to receive the largest healthcare IPO the country has ever seen. Manipal Health Enterprises Limited — the Bengaluru-headquartered hospital group backed by Singapore sovereign wealth fund Temasek and US private equity major TPG, founded and chaired by Dr Ranjan Pai — filed its Draft Red Herring Prospectus with the Securities and Exchange Board of India on March 23 and 24, 2026. The proposed issue comprises a fresh equity raise of ₹8,000 crore alongside an offer-for-sale of up to 43.23 million shares by promoters and existing investors. The company is targeting a listing by end-2026, subject to market conditions and regulatory clearances.
Investment banks Kotak Mahindra Capital, Goldman Sachs, JP Morgan, Jefferies, Axis Capital, and UBS are managing the issue — one of the most prestigious banking consortiums assembled for any Indian IPO. Cyril Amarchand Mangaldas and Khaitan and Co are acting as legal counsel, with JSA, AZB and Partners, Shardul Amarchand Mangaldas, and Trilegal advising the key selling shareholders.
What Manipal Hospitals Has Built
Manipal Health Enterprises is not a startup story — it is three decades of building what CRISIL identifies in the DRHP as the widest hospital footprint among private hospital chains in India. As of September 30, 2025, the group operated 38 hospitals on a reported basis — or 48 hospitals on a pro forma basis following the October 2025 acquisition of Pune-based Sahyadri Hospitals — across 14 states and union territories, with 10,761 licensed beds on a reported basis and 12,367 on a pro forma basis.
The company served 3.94 million patients in just the six months ended September 2025, and 7.19 million patients across FY25 on a pro forma basis, supported by a network of 11,058 doctors. Clinical focus is on high-acuity tertiary and quaternary care across six core specialties: Cardiac Sciences, Oncology, Neurosciences, Gastrosciences, Orthopaedics, and Renal Sciences — the CONGO-R framework that defines Manipal's clinical positioning.
Manipal's pan-India footprint is distinctive in that it has achieved leadership in three major metros simultaneously: Bengaluru, Kolkata, and Pune — making it the only private hospital chain in India with leadership positions in multiple tier-one cities while also maintaining a strong non-metro presence.
The Financials
For FY25 on a pro forma basis, Manipal Hospitals posted revenue from operations of ₹9,263.56 crore — up from ₹6,171.63 crore in the previous year, a 50% increase driven by capacity expansion, higher patient volumes, and improving Average Revenue Per Occupied Bed. Net profit for the period came in at ₹534.7 crore, essentially flat compared to ₹533.2 crore the previous year, as aggressive expansion costs offset operational profit growth. Revenue for the first six months of FY26 alone reached ₹4,713 crore with net profit of ₹571.8 crore — indicating accelerating profitability in the current financial year.
Total consolidated outstanding borrowings as of January 31, 2026 stood at ₹10,612.79 crore — significant leverage that the IPO will substantially address. The fresh issue proceeds of ₹8,000 crore are allocated primarily to debt repayment of ₹5,378 crore, with ₹574 crore earmarked for the acquisition of a minority stake in step-down subsidiary Sahyadri Hospitals, and the remainder for general corporate purposes.
The Investor Exit Story
The offer-for-sale component of the IPO will provide partial exits for several key investors. Temasek (through Imperius Healthcare Investments) is the largest OFS seller, offering 21.62 million shares. Manipal Education and Medical Group India will sell 13.58 million shares. TPG (through TPG SG Magazine) offers 4.66 million shares. Additionally, smaller positions in Seventy Second Investment Company, Novo Holdings Invest Asia, Ammar Sdn Bhd, and Phoenix Bear Investments will be partially liquidated.
The IPO is not a distress exit for any of these investors — Temasek's landmark 2023 investment that valued Manipal at multiples of its earlier valuations remains significantly in the money. This is an orderly value realisation for patient, long-term investors who backed Dr Ranjan Pai's vision of building India's largest hospital network.
The Strategic Signal
Manipal's IPO filing comes at a moment when three major Indian hospital groups — Manipal, Cult.fit (wellness), and potentially others — are simultaneously moving toward public markets. This convergence is not coincidental. India's hospital sector has delivered exceptional financial performance over the past three years, healthcare valuations remain at premium multiples of 20-30x EBITDA, and institutional investor appetite for India's healthcare growth story is at its highest level in a decade.
The listing will also provide a public market benchmark for India's hospital sector at scale — a reference valuation that will influence how Apollo, Max, Fortis, and Narayana are assessed by domestic and international investors going forward.
BHC Perspective
At Bengaluru Health Community, the Manipal Hospitals IPO is the most important single event in Indian healthcare capital markets in years — and it is, once again, a Bengaluru story. Manipal Health Enterprises is headquartered in our city. Dr Ranjan Pai built this network from our ecosystem. When Manipal lists on BSE and NSE, it will be a milestone moment for Bengaluru's position as India's undisputed healthcare capital. For founders, investors, clinicians, and hospital administrators across the BHC network — watch this IPO closely. The valuation it achieves, the investor base it attracts, and the growth story it tells will shape how the world thinks about Indian healthcare for the rest of this decade.
Frequently Asked Questions
Q: What is the Manipal Hospitals IPO size?
A: The IPO comprises a fresh equity issue of ₹8,000 crore and an offer-for-sale of up to 43.23 million shares by promoters and investors including Temasek and TPG. A pre-IPO placement of up to ₹1,600 crore is also being considered, which would reduce the fresh issue accordingly.
Q: How many hospitals does Manipal operate?
A: On a pro forma basis (including Sahyadri Hospitals), Manipal Health Enterprises operates 48 hospitals with 12,367 licensed beds across 14 states and union territories in India, making it the widest-footprint private hospital chain in the country.
Q: What will the IPO proceeds be used for?
A: The primary use is debt repayment of ₹5,378 crore to reduce Manipal's ₹10,612 crore in outstanding borrowings, plus ₹574 crore to acquire a minority stake in step-down subsidiary Sahyadri Hospitals, with the remainder for general corporate purposes.