Rs.1,930 Crore Deal: Narayana Health Expands Global Footprint with Acquisition of UK’s Practice Plus

Narayana Health Acquires UK’s Practice Plus Group for ₹1,930 Crore to Strengthen Global Expansion

Bengaluru, October 31 — In a landmark move that cements its position as a global healthcare player, Narayana Health has announced the acquisition of UK-based Practice Plus Group Hospitals for £188.78 million (approximately ₹1,930 crore) in an all-cash deal. The acquisition, disclosed on Thursday, marks one of the largest overseas takeovers by an Indian healthcare company.

The transaction was executed through Narayana Hrudayalaya UK, a wholly owned subsidiary of Health City Cayman Islands, and represents a major milestone in Narayana Health’s international growth journey.

With this acquisition, the Bengaluru-headquartered hospital chain has gained a strategic entry into the mature UK healthcare market, which is witnessing a steady transformation toward day-care medical procedures, greater private-pay participation, and digitally enabled patient services.

Practice Plus Group: Among the UK’s Top Private Healthcare Providers

Practice Plus Group, previously owned by Bridgepoint, a global private equity firm managing over $86 billion in assets, is one of the largest independent healthcare service providers in the UK. It is the fifth-largest private hospital chain and the fourth-largest provider of NHS (National Health Service) healthcare services in the country.

The group operates 330 hospital beds, employs around 2,500 people, including 1,300 clinical professionals, and performs nearly 80,000 surgeries annually. In FY25, Practice Plus Group reported a turnover of £250 million, reflecting its strong operational base and financial stability.

According to Narayana Health, the acquisition will be funded primarily through £150 million in long-term debt, carrying a seven-year tenor, demonstrating the company’s prudent financial strategy to balance expansion with sustainable leverage.

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A Strategic Step Toward Global Diversification

The acquisition aligns seamlessly with Narayana Health’s global expansion strategy, following its successful international operations through Health City Cayman Islands in the Caribbean. By integrating Practice Plus Group into its portfolio, Narayana Health aims to leverage its technological capabilities, data-driven management systems, and clinical expertise to enhance efficiency and scalability across geographies.

“This is an incredibly exciting step for Narayana Health,” said Dr Devi Prasad Shetty, Founder and Chairman of Narayana Health.
“We share a common vision with Practice Plus Group — to make healthcare affordable and accessible to all. Together, we are a perfect fit.”

Dr Shetty emphasized that the acquisition reflects Narayana’s commitment to delivering affordable, high-quality care globally, particularly in regions where healthcare systems are evolving toward greater efficiency and patient-centric models.

Practice Plus Group Brings Asset-Light and Scalable Growth Model

One of the most attractive features of Practice Plus Group, according to Narayana Health’s investor presentation, is its asset-light model and favorable doctor engagement structure, both of which support scalable and sustainable growth.

“Practice Plus Group’s asset-light model and favorable doctor engagement structure make it an ideal platform for scalable growth,” the company said in a statement.

This model complements Narayana’s philosophy of high-volume, cost-efficient healthcare delivery, allowing the company to expand its footprint without overextending capital resources.

Jim Easton, CEO of Practice Plus Group, welcomed the partnership, saying,

“Dr Shetty and Narayana Health have an enviable reputation for high-quality, efficient healthcare with a human touch. I’m excited about what we can achieve together.”

No Regulatory Hurdles; Quick Completion Expected

In a positive development for investors, the acquisition does not require any regulatory approvals and is expected to close within six business days, signaling a swift transition and integration process.

The move is expected to help Narayana tap into the growing demand for private surgeries and specialty healthcare services in the UK, especially as public healthcare systems face increasing pressure.

Analysts believe the deal positions Narayana Health to diversify its revenue mix, reduce dependence on the Indian market, and build a strong presence in developed economies.

Market Reaction: Shares Dip Amid Profit Booking

Despite the strategic significance of the deal, shares of Narayana Hrudayalaya Ltd. were trading nearly 3 percent lower during mid-day trade on October 31, reflecting short-term profit booking and cautious sentiment among investors.

Market participants noted that while the acquisition enhances Narayana’s global footprint, the near-term increase in debt and integration costs may weigh on margins before the synergies materialize.

Nonetheless, analysts view the acquisition as structurally positive, positioning Narayana Health as a key player in global healthcare consolidation.

Industry Perspective: Indian Healthcare Expands Beyond Borders

The acquisition underscores a growing trend of Indian healthcare companies expanding internationally, leveraging their operational efficiency, clinical expertise, and cost-effective service models.

By acquiring Practice Plus Group, Narayana joins a select group of Indian hospital chains pursuing global scale and diversification, similar to earlier moves by Apollo Hospitals and Fortis Healthcare in regional markets.

Experts believe that such cross-border acquisitions will elevate the global profile of Indian healthcare providers, offering them access to advanced healthcare ecosystems and diverse patient demographics.

Conclusion: A Transformative Leap for Narayana Health

With the Practice Plus Group acquisition, Narayana Health has taken a bold and strategic leap toward becoming a globally integrated healthcare powerhouse. The move not only expands its international footprint but also positions it to capitalize on global healthcare trends such as outpatient surgery growth, digital health adoption, and patient-driven care models.

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