Fortis Healthcare to invest Rs 840 crore in Bengaluru; firm acquires People Tree Hospital

Fortis Healthcare announced on Saturday that it has signed definitive agreements to acquire a 100 per cent stake in TMI Healthcare Private Limited, which operates the People Tree Hospital in Yeshwanthpur, Bengaluru.

The deal is valued at Rs 430 crore, which covers the acquisition of the business, the hospital building, and the underlying land. But the investment doesn't stop there. Fortis plans to infuse an additional Rs 410 crore into the facility over the next three years to scale up infrastructure and clinical programmes, the hospital chain informed stock exchanges.

Currently, the acquired facility has 125 beds, but with the acquisition of an adjacent land parcel of roughly 0.8 acres, the company plans to expand capacity to over 300 beds, it added.

Ashutosh Raghuvanshi, MD & CEO of Fortis Healthcare, said, “The acquisition is a strategically important addition and will further strengthen our position in the Bengaluru market, where we already have a significant presence across seven facilities (including O&M facilities) with a potential to scale up to 1500+ beds from 900 beds currently".

The People Tree Hospital, located in a dense residential catchment in Northwest Bengaluru, is NABH-accredited and offers specialities including cardiac sciences, Orthopaedics, and neurosciences. "The transaction is expected to be consummated by end of January 2026," the company noted in its filing.

Jothi Neeraja, Founder, MD & CEO of People Tree Hospitals, said, "The strategic transition to Fortis Healthcare marks a pivotal milestone in this journey reflecting our unwavering commitment to clinical excellence and robust governance".

Earlier on, Fortis Healthcare also announced changes to its boardroom. In a separate filing, the company disclosed the appointment of Mohd Shahazwan Bin Mohd Harris as an Additional Director (Non-Executive & Non-Independent), effective December 19, 2025. 

On Friday, shares of Fortis Healthcare settled 2.80 per cent higher at Rs 890.65 on the BSE. The counter has gained nearly 25 per cent year-to-date.