MUMBAI: The Bengaluru-based third-party insurance service provider Medi Assist Healthcare Services has acquired 100% stake in the rival firm Paramount Health Services & Insurance TPA for a total consideration of around Rs 312 crore.
This acquisition marks pivotal step in Medi Assist's continued growth strategy, reinforcing its position as the country’s largest health benefits administrator.
The transaction adds Rs 4,000 crore of health premia under administration to the only publicly traded company in this segment in India, Medi Assist said in a statement on Wednesday.
"The acquisition strengthens our market leadership, expands our insurer partnerships, and enhances the service scale across health segments," stated the company, which went public in January 2024 with a Rs 1,172-crore IPO.
The deal also enhances Medi Assist's provider networks and enables the company to leverage operational synergies, all while incorporating cutting-edge technology-driven automation to scale services more efficiently across all health insurance segments. However, both the companies will continue to operate independently until a formal merger process is completed, said Satish Gidugu, chief executive officer of Medi Assist.
Medi Assist provides health benefits administration services, technology platform and innovative offerings to the health insurance ecosystem by acting as facilitator between insurers and their policyholders, insurance companies and healthcare providers and government and the beneficiaries of public healthcare schemes.