Health1 min read

Most of private equity in health went to west & south: Study

By · Via Times of India · Published by Everything Blog

In short

The study analyzed 70 healthcare acquisitions occurring between January 2007 and May 2025, noting that deals accelerated sharply to a peak of 18 transactions in 2023. Capital was heavily concentrated, with one-third of all deals involving just four major hospital groups. Foreign private equity firms from countries including the United States, Singapore, and Mauritius financed 47 of the identified acquisitions. In outpatient segments, investors primarily directed their focus toward ophthalmology and fertility care facilities.

Key points

  • Private equity healthcare investments over the past 18 years bypassed northern, eastern,…: Private equity healthcare investments over the past 18 years bypassed northern, eastern, and rural regions in favor of urban centers.
  • Deal activity accelerated significantly following 2020 due to abundant capital, low inter…: Deal activity accelerated significantly following 2020 due to abundant capital, low interest rates, and reliable healthcare earnings.
  • Many investors originally acquired minority stakes before progressively expanding their e…: Many investors originally acquired minority stakes before progressively expanding their equity holdings in the hospital groups over time.

Sources checked by our analysis pipeline: 1

A study found that private equity investment in India’s healthcare sector is concentrated in urban hospitals in southern and western states, leaving rural and underserved regions largely overlooked. (AI-generated image)

A mapping of private equity investments in India’s health sector over past 18 years has revealed investments are overwhelmingly in multispecialty hospitals in the urbanised southern and western states, while vast rural and underserved regions attracted little or no investment at all.In the study by Brown University’s School of Public Health and Johns Hopkins Bloomberg School of Public Health, which identified 70 private equity (PE) backed acquisitions between Jan 2007 and May 2025, over 73% of the investment was in 45 hospital groups, including 187 multispecialty hospitals and several single ones. Among 16 outpatient care providers targeted, ophthalmology and fertility/reproductive care were the most common ones.According to the study, the investments accelerated after 2020 and peaked in 2023, which witnessed 18 deals. “This timing mirrors global post-pandemic trends, where healthcare emerged as an attractive investment sector amid favourable financial conditions. During the pandemic, low interest rates and large amounts of…

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