DLA Piper advises Hinduja Global Solutions on USD1.2 billion sale of its healthcare business

DLA Piper is advising Hinduja Global Solutions Limited (HGS) on the sale of its healthcare solutions business to Baring Private Equity Asia, in a transaction valued at USD1.2 billion subject to closing adjustments.

HGS is the business processing management arm of Indian conglomerate Hinduja Group, one of the largest diversified groups in the world. It is a global leader in the sector, optimizing the customer experience lifecycle and combining technology - powered services in automation, analytics and digital transformation, HGS has domain expertise in back office processing, contact centers and human resource outsourcing solutions.

The healthcare services vertical of HGS has over 20,000 employees across four geographies – India, the Philippines, the US and Jamaica. As part of the transaction, HGS will transfer all client contracts, employees, and assets, including infrastructure related to the carved-out healthcare services business. The deal is expected to complete within 90 days, subject to shareholder and other regulatory approvals.

The DLA Piper team acted as US counsel to HGS, drawing upon its US capabilities in Asia. The cross-border transaction is being led by Singapore based Corporate partner David Kuo and Meraj Noor, Deputy Chair of DLA Piper’s Global India Group. David and Meraj are supported by senior associates Teerin Vanikieti and Andhari Sidharta, and associates Karen Lee and Kallaya Bencharongkul (Singapore). Litigation and Regulatory partner Nathan Bush is providing advice relating to regulatory approvals.

Partners Randy Peak II, Leon Medzhibovsky, Ute Krudewagen and Garrett Kennedy, of counsels Nicole Zayak and Erin Sweeney, and associates Thomas J. Alford, Jia Li and Wenxi Li are providing support on US healthcare and insurance regulatory matters, as well as on employment, employee benefits and other specialist matters.

Commenting, partner David Kuo said “We are delighted to advise HGS on this high-profile transaction. This was a particularly complex deal, which required a multi-disciplinary approach involving many interesting and unique aspects, including the carve out of the assets and various cross-border intricacies. It is a privilege to work with the outstanding team at HGS, which is a highly valued client of the firm. The transaction is an endorsement of our ability to provide US law transaction coverage for Indian clients on a real time basis in Asia. This deal continues the growing trend of mid to large cap buy outs in the IT Healthcare and Healthcare space in Asia Pacific which we are well-placed to service.”

Meraj Noor added “A terrific transaction which we enjoyed working on together with the client and the sell-side advisory team. Despite the many challenges including a turbulent macro environment, the healthcare services business is an attractive asset in a high interest segment. As we continue to build our brand and service offering for our Indian clients, it is reassuring that Indian conglomerates continue to trust us with their work on challenging transactions.”