Sutherland Global Services to acquire Apollo's PE-backed BPO arm

The transaction is expected to close by February 2013, the companies said in a joint statement.

According to The Business Standard, the deal is worth around INR10 billion ($184 million), with Sutherland acquiring a 39.4% stake from Apollo Hospitals Enterprises, a 13% stake from the promoters, and the remainder from private equity investors.

In 2005, One Equity Partners and Temasek invested $7.5 million in the company. The pair put in another $25 million two years later.

The acquisition is expected to position the combined organization as a leading healthcare service provider and consolidate Sutherland's presence as a dominant player in the $38 billion US healthcare BPO market. The deal also supports Apollo Hospitals' strategy of focusing on its core healthcare delivery services.

"We are pleased that a strategic player like Sutherland Global Services is acquiring Apollo Health Street and will expand and enhance our successful operations," said Sangita Reddy, managing director of Apollo Health Street. "Apollo and Sutherland are both committed to ensuring customer success, smart technology, and employee growth."

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• Topics
• South Asia
• Healthcare
• Exits
• Temasek Holdings
• India
• healthcare
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