Shares of Park Medi World Ltd gained nearly 8% following the company's announcement of acquiring Medicity Hospital in Rudrapur, Uttarakhand, in an all-cash transaction valued at approximately ₹177 crore on Monday, May 25. According to reports from CNBC TV18, the hospital chain will acquire the 330-bed facility through a two-tranche share purchase, with 80% of the stake to be acquired by August 31, 2026, and the remaining 20% to be completed by April 30, 2030. The acquisition values the hospital at approximately 3.2 times its FY26 revenue, based on the disclosed consideration of ₹177 crore against turnover of ₹55.74 crore. No regulatory or governmental approvals are required to complete the transaction, and the deal does not constitute a related party transaction.
As reported by CNBC TV18, Medicity Hospital, incorporated in July 2014, operates as the largest hospital in the Kumaon region, spanning over 7,000 square meters of land with approximately 1.64 lakh square feet of covered area. The facility offers over 20 speciality departments, including Cardiac Sciences, Neurosurgery, Oncology & Oncosurgery, Orthopaedics, Nephrology, Gastroenterology, ENT, Paediatrics, Urology, Physiotherapy, Dialysis, Blood Bank, Interventional Radiology, and more. The acquired entity reported revenue of ₹55.74 crore in financial year 2026, ₹49.04 crore in financial year 2025, and ₹42.46 crore in financial year 2024. The Kumaon belt of Uttarakhand represents a geography with limited large-format tertiary care infrastructure, making the target asset strategically relevant for the acquirer's regional expansion.
According to CNBC TV18, Park Medi World has expanded into a sixth state in India with this acquisition, which is expected to strengthen the consolidated financial performance of the Park Group. Group CEO and Whole-time Director Sanjay Sharma confirmed that the acquisition will be funded through internal accruals. The company plans to enhance clinical service offerings, optimise operational workflows, and implement a structured drive to improve bed utilisation rates, with the hospital chain adding 500 beds in financial year 2027 and targeting 1,000 beds in financial year 2028. The acquisition aligns with the company's stated growth strategy of expanding into high-potential, underserved markets by deploying assets to achieve operational synergies and economies of scale.
As reported by CNBC TV18, shares of Park Medi World are trading 7.6% higher at ₹279.33, with the stock up 18% in the last one month and 87% so far in 2026. Managing Director Ankit Gupta stated that the Medicity Hospital is a high-quality asset with strong clinical reputation and established patient base, positioning it as a cornerstone asset within their expanding cluster-based network. The acquisition advances Park Group's long-term objective of building a dominant and integrated healthcare network in North India.
