This is about 2.2x FY24 (financial year 2023-24) enterprise value (EV)/sales and estimated 14x FY26 EV/Ebitda for the deal.
The acquisition will help Metropolis to scale up its market share in oncology test sales from 4 per cent to 10 per cent in the fast-growing oncology market in India (17.5 per cent compound annual growth rate, or CAGR, estimated during CY23-28, as per MHL).
It will also help MHL to increase presence in North and East India. The management expects Ebitda (earnings before interest, taxes, depreciation and amortisation) payback in next 6-8 years and PAT (profit after tax) payback in 9-10 years while integration will take 6-18 months. Core's current Ebitda margin is in low single digits.
MHL will make a cash payment of ₹136 crore and the balance ₹111 crore through the issue of 5,19,270 fresh shares (1 per cent of post-issue outstanding shares). It may further pay up to ₹5 crore post-completion of transaction as per the agreed pricing adjustments.
Bu hikaye Business Standard dergisinin December 20, 2024 sayısından alınmıştır.
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Bu hikaye Business Standard dergisinin December 20, 2024 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Giriş Yap
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