Shares of Unihealth Hospitals Ltd. hit the 5 percent upper circuit on Wednesday after the company announced plans to raise its ownership in Victoria Hospital Limited, its Ugandan joint venture, from 50 percent to 100 percent.
The stock rose 4.94 percent to Rs. 548, locking in the day’s upper circuit. The company had a market capitalization of around Rs. 871 crore.
According to a filing with the National Stock Exchange, the board approved a share-swap transaction to acquire the remaining 50 percent stake held by its East African partners.
The final exchange ratio will be determined through independent valuation reports.
The transaction is intended to increase Unihealth’s ownership in the subsidiary without using cash.
Uganda subsidiary reports strong growth
Victoria Hospital operates the UMC Victoria Hospital brand in Kampala, Uganda.
For FY26, the subsidiary reported:
- Revenue of Rs. 114.47 crore, up 33.12 percent from Rs. 85.99 crore a year earlier.
- Profit after tax of Rs. 43.63 crore, compared with Rs. 25.81 crore in the previous year, a rise of 69.04 percent.
With full ownership, Unihealth will be able to consolidate the subsidiary’s financial performance completely.
Expansion plans
According to Dr. Akshay Parmar, Founder and Managing Director of Unihealth Hospitals, the transaction is aligned with the group’s strategy of expanding healthcare operations across Africa.
The group recently commissioned a 30-bed hospital in Entebbe, Uganda and plans to establish a network of secondary clinics over the next 12 months.
In India, the company said its new UMC Hospital in Nashik has received registration and is expected to begin operations in the coming weeks.
Stock performance and financial metrics
Unihealth Hospitals, listed on the NSE SME Emerge platform, has delivered strong returns.
The stock has gained about 213 percent over the past year from its 52-week low of Rs. 134.
Key metrics include:
- ROCE: 27.4 percent
- ROE: 21.4 percent
- P/E ratio: 33.7
The broader hospital sector trades at a median P/E of 45.4.
Promoters held 69.5 percent of the company.
About the company
Founded in 2010, Unihealth Hospitals Ltd. operates hospitals and provides healthcare-related services across India and East Africa.
Its businesses include:
- Hospital operations
- Healthcare project consultancy
- Medical value travel services
- Distribution of pharmaceuticals and medical equipment
For FY26, the company reported:
- Total income of Rs. 137.01 crore
- EBITDA of Rs. 58.82 crore
TL;DR:
Unihealth Hospitals hit the 5% upper circuit after approving a share-swap deal to acquire the remaining 50% stake in Uganda-based Victoria Hospital. The subsidiary reported strong FY26 growth, with revenue rising 33% and profit increasing 69%.
AI summary:
- Unihealth plans to raise its stake in Victoria Hospital to 100%.
- The acquisition will be completed through a share-swap arrangement.
- Victoria Hospital’s FY26 revenue rose 33.12% to Rs. 114.47 crore.
- PAT increased 69.04% to Rs. 43.63 crore.
- Unihealth shares hit the 5% upper circuit at Rs. 548.
