Global private equity giants, including Warburg Pincus and KKR, are vying for a 25% stake in India’s largest maternity and pediatric hospital chain, Cloudnine. The deal is expected to value the company at approximately $1 billion, with existing investor True North exiting completely.

Cloudnine reported revenues of ₹2,000 cr and EBITDA of ₹300 cr in FY26, making it one of the largest maternity hospital chains in India by revenue. The company has been expanding its operations rapidly over the past few years, and the PE investment is expected to help accelerate this growth.

Warburg Pincus, KKR, and TPG are among the top contenders for a stake in Cloudnine, according to sources close to the matter. The deal is seen as a strategic move by these PE firms to expand their presence in India’s healthcare sector.

The proposed investment will help Cloudnine strengthen its balance sheet, improve operational efficiency, and enhance patient care services. However, the exact terms of the deal have not been disclosed yet.

Cloudnine has a strong market position, with operations across 11 states in India. The company has also been investing heavily in technology and digital transformation to improve its services and stay competitive.

The PE investment is expected to have both positive and negative implications for the Indian healthcare sector. On the one hand, it could lead to increased competition and better patient care services. On the other hand, it could also increase costs and reduce profitability for local hospitals.

Industry experts are closely watching the developments in this space, as PE investment in the healthcare sector is expected to continue growing in India. The Indian government has been promoting the growth of private hospitals and healthcare services through various policies and initiatives.

The deal is expected to be completed by the end of this year or early next year, pending regulatory approvals and other conditions. If successful, it would mark one of the largest PE investments in India’s healthcare sector in recent times.