Yatharth Hospital shares surge nearly 9%, hit record high; here is why

Shares of Yatharth Hospital & Trauma Care Services, the Noida-based hospital chain operator, advanced as much as 8.63% to a record high of ₹1,067 per share on the National Stock Exchange (NSE) on Thursday, September 17 after the company informed exchanges that a global private equity investor Advent International entered into an agreement to invest ₹3,150 crore in the company.

On the BSE, Yatharth Hospital shares advanced as much as 8.37% to a record high of ₹1,065.

Yatharth Hospital said that it has entered into a definitive agreement with Advent to invest ₹3,150 crore for 24.9% stake in the company.

Following the investment, the promoter, the Tyagi Family, will remain Yatharth Hospitals' largest shareholder and continue to guide the company’s long-term vision, alongside a strong leadership team of healthcare and business professionals, Yatharth Hospital said in a press release.

"The transaction marks a pivotal milestone in Yatharth Hospitals’ growth journey and reflects Advent’s confidence in the Company’s differentiated healthcare platform, strong clinical capabilities, scalable operating model, and experienced management team," Yatharth Hospital added.

"Advent’s investment marks a pivotal milestone in our journey and helps validate the strength of our platform and long-term vision. Beyond capital, Advent brings deep healthcare expertise, global insights, and a strong value-creation mindset that will, we believe, help accelerate our next phase of growth," said Yatharth Tyagi, Whole-time Director, Yatharth Hospitals.

"Together, we aim to expand our reach, strengthen our capabilities, and build one of India’s leading healthcare networks while remaining committed to delivering high-quality outcomes for patients,” he added.

“This investment underscores Advent’s deep and longstanding commitment to India’s healthcare sector, which we believe is entering a decade of structural growth as access expands, quality improves, and consolidaƟon advances. We are pleased to partner with the Yatharth family, bringing our global healthcare expertise and experience investing in founder-led businesses to help support and accelerate the company’s next phase of growth,” said Pankaj Patwari, Managing Director at Advent.

In a separate development, the Noida-based company's board approved an increase in the authorised share capital of the company from ₹115 crore to ₹150 crore, subject to approval by shareholders of the company and any other approvals under applicable laws.

Meanwhile, Yatharth Hospital shares were witnessing a spike in trading activity as volumes in the stock jumped to 1 lakh shares compared with an average of 20,000 shares traded daily in the past two weeks on the BSE.

As of 12:54 pm, Yatharth Hospital shares traded 5.5% higher at ₹1,037, outperforming the NIFTY Samllcap 500 index which was up 0.86%.