Unihealth Increases Stake in Victoria Hospital to 99.81% via Strategic Share Swap Transaction

Unihealth Increases Stake in Victoria Hospital to 99.81% via Strategic Share Swap Transaction​

Unihealth Hospitals Limited, an integrated healthcare delivery platform operating across India and East Africa, has approved a strategic share swap transaction that will increase its stake in Victoria Hospital Limited (VHL), Uganda, from 50.00% to nearly 100%. This acquisition aims to consolidate ownership of one of the Group's fastest growing overseas assets, enhancing future earnings attributable to Unihealth Hospitals Limited shareholders and simplifying the Group structure.

Upon completing the transaction, Unihealth will become almost wholly owners Victoria Hospital Limited in Uganda. The proposed acquisition involves issuing 12,50,000 fully paid-up equity shares of Unihealth Hospitals Limited on a preferential basis. These new shares are exchanged for the aggregate holding of 2,55,544 equity shares of VHL, representing 49.81% interest, held by Mr. Bhasker Kotecha and Dr. Chirag Kotecha.

The acquisition consideration will be satisfied entirely through the issuance of equity shares, which is intended to preserve the Company's cash resources while maintaining financial flexibility for future expansion initiatives.

Strategic Value and Performance of Victoria Hospital​

The move significantly strengthens Unihealth’s international platform by substantially increasing ownership in a high-performing overseas business. Victoria Hospital has demonstrated consistent operational and financial strength over the last three financial years, showcasing scalable operating leverage and sustained earnings growth.

Key financial performance indicators for Victoria Hospital Limited across recent years are detailed below:


The hospital’s growth trajectory is notable, with revenue increasing by over 90% and profit after tax expanding by nearly seven times over the three years.

Beyond its financial achievements, Victoria Hospital holds two significant advantages that enhance long-term investment attractiveness:

• A ten year corporate income tax holiday effective until June 30, 2034.
• A debt free balance sheet with no outstanding borrowings.

The acquisition is set to align virtually the entire economic interest of VHL with Unihealth shareholders while simplifying the Group’s ownership structure. Strategic benefits include consolidation of future earnings, enhanced free cash flow generation through tax-efficient earnings, and improved operational integration across India and East Africa.

Strengthening the East African Platform​

East Africa remains a highly attractive long-term healthcare market due to favorable demographics, rising specialized care demand, and the current under penetration of organized private healthcare infrastructure. UMC Victoria Hospital has established itself as one of Uganda's leading multispecialty tertiary healthcare institutions. The hospital serves patients not only from Uganda but also neighboring countries including South Sudan, the Democratic Republic of Congo, and Kenya, which strengthens Unihealth’s regional franchise.

The near complete ownership will allow Unihealth to accelerate investments in specialized areas such as oncology, cardiology, neurosciences, advanced medical technology, and digital healthcare capabilities. This positions Unihealth to capitalize on structural growth opportunities within the East African healthcare sector.

Dr. Akshay Parmar, Managing Director of Unihealth Hospitals Limited, commented that this transaction is an important strategic milestone for the company’s evolution as an international platform. He noted, "Victoria Hospital has delivered outstanding financial performance over the past three years... Equally Important, the hospital enjoys a corporate tax holiday extending until June 2034 and maintains a debt free balance sheet." He added that the acquisition is expected to be materially earnings accretive.

Dr. Anurag Shah, Founder and Director of Unihealth Hospitals Limited, stated that VHL has become one of Uganda's leading tertiary healthcare institutions through its commitment to clinical excellence. The transition to an almost wholly owned subsidiary marks a new phase of growth, enabling accelerated investments in infrastructure and specialized clinical programs while maintaining operational excellence.

The acquisition is consistent with Unihealth’s long-term strategy. Victoria Hospital combines several rare characteristics: a proven record of sustained revenue and earnings growth; industry leading profitability and operating margins; a ten year corporate tax holiday until June 30, 2034; a debt free balance sheet; and significant opportunities for future capacity expansion.

UNIHEALTH Stock Price Movement​

Unihealth Hospitals Limited saw its equity perform strongly on Friday, closing at ₹624.65 after gaining 1.21% in session trading. The stock touched its 52-week high, which was recorded at ₹656, with total traded volume standing at 16,000 shares.