Business · Companies · 2 hrs ago
Investors in Talks to Back AIG Hospitals in Stake Sale Valued at Up to Rs 24,000 Crore
Novo Holdings, GIC and Axight are discussing an investment of Rs 2,000-2,500 crore in AIG Hospitals, a private hospital chain based in Hyderabad.
The founders, Duvvur Nageshwar Reddy and Penmetsa Venkata Subbaraju, plan to sell 10-12% of their stake, valuing the company at Rs 22,000-24,000 crore.
EQT, which has held an investment in AIG Hospitals for four years, is planning to transfer it to another fund as part of the deal.
The founders are expected to keep running the company, which provides care across more than 40 medical specialities.
AIG plans to invest Rs 2,000 crore over five years in a new Visakhapatnam hospital campus with 1,000 beds.
The talks reflect investor interest in Indian hospitals, but the deal has not been confirmed.
Novo Holdings, GIC and Abu Dhabi’s Axight are in advanced discussions with EQT about investing Rs 2,000-2,500 crore in AIG Hospitals.
The proposed stake sale would dilute the founders’ holdings by 10-12% at a valuation of Rs 22,000-24,000 crore.
AIG Hospitals is a multispeciality chain based in Hyderabad, and its two founders are expected to continue running the company.
EQT is planning a fund-to-fund transfer of its four-year-old investment in the hospital group.
The company plans to invest Rs 2,000 crore in a new Visakhapatnam facility over five years.
- Who
- Novo Holdings, GIC and Axight are in discussions with EQT. AIG Hospitals’ founders are Duvvur Nageshwar Reddy and Penmetsa Venkata Subbaraju.
- What
- The investors are discussing an investment of Rs 2,000-2,500 crore as part of a proposed stake sale.
- When
- The discussions were reported on October 15, 2026.
- Where
- AIG Hospitals is based in Hyderabad, India.
- Why
- EQT is planning a fund-to-fund transfer of its investment. The sources do not state the investors’ specific reasons for considering the deal.
This story does not have two clearly opposing sides.
Duvvur Nageshwar Reddy founded AIG Hospitals in Somajiguda, Hyderabad.
Baring Private Equity Asia invested in AIG Hospitals, and later combined with EQT.
Reddy laid the foundation stone for a fourth facility in Visakhapatnam and said the company planned to invest Rs 2,000 crore there over five years.
The report said Novo Holdings, GIC and Axight were in advanced discussions with EQT about investing in AIG Hospitals.
- Proposed investment
- Rs 2,000-2,500 crore
- Proposed valuation
- Rs 22,000-24,000 crore
- Founders’ stake dilution
- 10-12%
- Headquarters
- Hyderabad
- Planned Visakhapatnam investment
- Rs 2,000 crore over five years