The Operations and Management Agreement has an initial term of five years, with an extension option for a further five years. Under the agreement, KIMS will run, manage, operate, direct and control the hospital and provide or facilitate medical services.
In consideration for the medical services, KIMS will receive a revenue fee of 9% of the total net revenue of the hospital. Net revenue is defined as gross revenue billed to patients, less concessions and discounts offered to patients.
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Aurevia Hospitals, formerly known as Golden Lan Solution Private Ltd, acquired the hospital business of Arete Hospitals through a Business Transfer Agreement (BTA) dated July 3, 2026.
Arete Hospital is a multispecialty hospital located in Gachibowli, Hyderabad, in the Cyberabad software and information technology hub. The facility provides primary, secondary and tertiary care across various medical and surgical specialties and has an operational capacity of approximately 250 beds.
Under the Operations and Management terms, KIMS will have exclusive supervision and control of the hospital and will be solely responsible for its proper operation and management.
KIMS has also entered into a Call Option Agreement with Aurevia Hospitals. The agreement gives KIMS the option, but not the obligation, to acquire the business if it is found suitable, subject to the terms and conditions and price to be agreed in definitive documents.
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The company said the agreement will allow Aurevia Hospitals to benefit from KIMS’ management expertise, operational efficiency and medical care, while enhancing KIMS’ presence in Hyderabad, Telangana.
The transaction is domestic and does not involve a share exchange or joint venture ratio. KIMS said the agreement does not fall under related-party transactions, and promoters, the promoter group or group companies have no interest in the entity being acquired.
The Operations and Management Agreement and Call Option Agreement were entered into on August 20, 2026.
Krishna Institute of Medical Sciences (KIMS) is one of the largest corporate healthcare groups in Andhra Pradesh and Telangana in terms of the number of patients treated and treatments offered.
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KIMS Hospitals offer a comprehensive range of healthcare services across over 25 specialties and super specialties, including cardiac sciences, oncology, neurosciences, gastric sciences, orthopaedics, organ transplantation, renal sciences and mother and child care.
Shares of Krishna Institute of Medical Sciences Ltd ended at ₹788.00, down by ₹0.60, or 0.076%, on the BSE.
