Private equity (PE) money is quietly transforming India’s healthcare sector. In just two years (2022–24), over $30 billion worth of PE and M&A deals were struck, with hospitals accounting for nearly 40 percent.

From Manipal’s ₹6,000 crore buyout of Sahyadri Hospitals to KKR’s ₹3,200 crore investment in HCG, global giants like Blackstone, Temasek, TPG, and CVC are betting big on Indian hospitals. The reasons are clear: low public spending, rising chronic diseases, expanding insurance, and urgent demand for modern infrastructure.

For hospitals, PE means faster growth- more beds, digital upgrades, and professional governance. Independent boards, clinical audits, and outcome tracking once rare in India, are now becoming standard. PE firms are also pushing single-specialty hospitals (oncology, IVF, eye care), a market expected to hit $31 billion by 2028.

Critics worry about rising costs, but investors argue India’s market rewards affordability, not premium pricing. “You can’t survive here unless you serve the largest number at the lowest cost,” says Quadria Capital’s Amit Varma.

Yet, challenges remain: only 30 percent of Indians are insured, while 70 percent still pay from their pockets. As private money reshapes the industry, the big question remains, will it truly make quality care accessible for all?