Apollo Hospitals' Founders Are To Sell Their Entire Stake In Apollo Munich

Founders of Apollo Hospitals Enterprise Ltd. Prathap C. Reddy and his family have announced to sell their entire stake in Apollo Munich in six months. According to a report published in a leading newspaper, this initiative is supposed to be taken to repay part of the debt raised by pledging the Apollo Hospital’s equity as collateral. 

As many as four companies including, two private equity funds, are interested in acquiring the holdings. Munich Re, a German reinsurance company is also in talks with HDFC ERGO General Insurance Company to sell its stake. Gross written premiums of Apollo Munich or the revenue generated from insurance contracts, increased by a third to Rs. 1,720 Crore in the year ended March 2018. Apollo Hospitals has on an average 10% of the venture.