Metropolis Healthcare acquires Core Diagnostics for Rs 246.8 Cr

Metropolis Healthcare has acquired specialised diagnostics company Core Diagnostics for Rs 246.8 crore. It was formerly owned by private equity companies.

The acquisition will be financed through a combination of cash and stock, financing 55% of the transaction in cash and 45% through an equity swap.

Ameera Shah-led Metropolis said in a statement that the deal will help expand its advanced cancer testing capabilities and deepen its market presence in northern and eastern parts of the country.

“With the majority of Core’s revenue coming from northern and eastern India, this acquisition provides an opportunity to connect with leading hospitals in these regions. It enables us to cross-sell Metropolis’ comprehensive range of tests and services while offering Core’s advanced cancer testing to our existing

customers. This strategic integration enhances our ability to meet the diverse needs of healthcare

providers and patients and expand our presence,” said Surendran Chemmenkotil, CEO of Metropolis Healthcare.

Founded in 2012, Delhi-NCR-headquartered Core Diagnostics operates across 200 cities in the country. The company registered revenue of Rs 110 crore in FY23-24 and has clocked in about 22% revenue compound annual growth rate over the past three years.

“This new chapter with the Metropolis family is both exciting and deeply meaningful. Core Diagnostics began in 2012 as Zoya Brar’s visionary dream and as a team, we’ve built a foundation of hope in advanced cancer testing. With Metropolis’ reach and expertise, we are ready to take a bigger leap, touching more lives and making a lasting difference in healthcare,” said Dinesh Chauhan, Chief Executive Officer, Core Diagnostics.

Established in 1981, Metropolis is among the largest diagnostics chains in India and has a presence across 22 states, three union territories, and over 700 towns.

Alivio Advisors served as the exclusive financial advisor to Metropolis while Saraf & Partners acted as legal advisors for the transaction.