Morgan Stanley Private Equity–backed Omega Hospitals, the Hyderabad-based oncology chain, has acquired Cytecare Hospitals, a leading cancer care provider in Bengaluru. The acquisition marks Omega’s entry into the fast-growing North Bengaluru market. Spark Capital Investment Banking served as the exclusive advisor to Cytecare for this transaction.
Founded in 2016, Cytecare has established a strong reputation for clinical excellence, patient-centric care and a research-driven approach. The 150-bed NABH-accredited centre is strategically located on Bengaluru’s international airport road, offering a prime position within the rapidly expanding northern corridor.
Omega Hospitals, founded in 2010 by surgical oncologist Dr. Mohana Vamsy, has grown significantly over the past 15 years to become India’s second-largest specialised oncology provider. Speaking on the acquisition, Dr. Vamsy said, “This acquisition is a significant milestone provides an entry in an important geography we want to focus outside our core geographies of AP & Telangana. Over the last 2 years we have been working on creating pan-India centres of excellence and our recent foray in Jabalpur, Surat, Vijaywada, Tirupati and now Bengaluru is part of the same expansion strategy. We hope to deliver on our commitment to provide advanced and high-quality care for cancer patients.”
Prateek Bhurat, Executive Director at Morgan Stanley PE, highlighted the strategic value of the deal, stating, “We have been in touch with Dr Ferzaan and team for the past year and very pleased that the deal has concluded. We recognise that Cytecare is strategically located, has good clinical talent and has tremendous potential for future growth. This unit will be developed as Omega’s centre of excellence for quaternary cancer care with investment earmarked for top clinical talent and high-end medical equipment.”
Cytecare’s co-founder and chairman, Dr. Ferzaan Engineer, expressed optimism about the transition, noting, “My co-founders, Suresh Ramu (CEO) and Himanshu Shah (director) and I are delighted with this transition of Cytecare to the next level of technology-led growth and patient-centric services under the leadership of Morgan Stanley backed Omega Hospitals. We are proud to have created a strong platform of clinical excellence, governance and research thanks to our exceptional clinicians, healthcare professionals, management teams, board of directors and investors. We are grateful to our 50,000 plus patients from over 25 countries for their trust and bless.”
Morgan Stanley PE had invested approximately INR 500 crore in Omega in June 2024. Since then, Omega has expanded across Jabalpur, Tirupati, Surat, Vijayawada and Yamuna Nagar, now operating 14 hospitals with around 2,000 beds across five states. The group has also strengthened its leadership by bringing in Dr. Vijay Vemuri, who has significant operating experience at AOI, as Executive Director.
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