Vijaya Diagnostic Centre Ltd on Tuesday said it will fully acquire Pune-based PH Diagnostic Centre Pvt Ltd for a cash consideration of Rs 134.65 crore.
The board of directors at their meeting held on Tuesday have considered and approved the terms and conditions of the share purchase agreement between the company, PH Diagnostic Centre (PH) and its promoters/shareholders form the acquisition of 100 per cent stake, Vijaya Diagnostic Centre said in a regulatory filing.
The cost of acquisition of 100 per cent shares from the existing shareholders of PH is Rs 134.65 crore, it said.
Additionally, Rs 12.85 crore will be infused into it by way of either equity or loan to pay existing debt, it added.
Post completion of the acquisition, PH will become a wholly-owned subsidiary of the company.
PH is Pune's largest integrated diagnostic centre, with 23 years of operations. It has three 'Hub Centres' equipped with advanced radiology like MRI/CT, and another three 'spoke centres' equipped to carry out basic radiology services like ECG, X-ray and ultrasound, and few collection and franchise centres, the filing said.
"The acquisition is in line with the company's objective to build a comprehensive diagnostic chain of network across different geographies and thereby increasing the market share and penetration," Vijaya Diagnostic Centre said.
It also said the strategic acquisition will help the company to expand rapidly and with a faster growth rate in Pune, Maharashtra.