Chennai, Jan 30 Bajaj Finserv Health Ltd (BFS-Health), a wholly-owned subsidiary of Bajaj Finserv Ltd, on Tuesday announced signing of share purchase agreement for acquisition of 100 per cent stake in Vidal Healthcare Services Private Ltd (VHC) and its subsidiaries and an associate company.
In a regulatory filing, Bajaj Finserv said the purchase consideration will be paid Rs.325 crore and will be paid in cash subject to satisfaction of condition precedents and necessary legal requirements.
As per the agreement, Vidal Health Insurance TPA Private Ltd (VHI-TPA) and VH Medcare Private Ltd, two wholly owned subsidiaries of VHC, would in turn become indirect wholly owned subsidiaries of BFS-Health and Bajaj Finserv.
Further, BFS-Health would indirectly acquire about 21.3 per cent equity stake in IntentHealth Technologies Private Ltd, which is an associate of VHC.
According to Bajaj Finserve, VHC is among India’s largest healthcare administrators.
VHC’s wholly owned subsidiary, VHI-TPA services premium of over Rs. 5,000 crore, covering 130 million lives.
VHI-TPA has significant presence in servicing corporate group policies, retail insurance as well as government health schemes.
As regards the rationale for acquisition, Bajaj Finserv said it enables BFS Health to offer OPD, wellness, as well as hospitalisation benefits to customers, thereby providing continuum of care.
The acquisition also helps BFS-Health play a pivotal role in various healthcare initiatives of the government and the insurance regulator.
Meanwhile Bajaj Finserv said it closed the quarter ending December 31, 2023 with an interest income of Rs 43.91 crore (against Q3FY3' Rs 28.27 crore and an after tax profit of Rs 4.39 crore (Rs 4.93 crore).
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