The recent Apollo Hospitals Stake Sale has sparked strong interest among institutional investors. Suneeta Reddy, Managing Director of Apollo Hospitals Enterprise Ltd., plans to sell 1.25% of its stake in the company through a block deal valued at about Rs 1,395 crore. This sale will be a major move to shift the ownership of one of India’s largest private healthcare providers.
According to a Moneycontrol report, Reddy plans to offload around 18 lakh shares at a floor price of Rs 7,747 per share. The deal is likely to be facilitated by Morgan Stanley as the broker. The floor price represents a discount of just over 2% compared to the company’s closing price of Rs 7,920 on Wednesday, though Apollo Hospitals' stock briefly touched an all-time high of Rs 7,947 earlier in the day.
A significant Suneeta Reddy Block Deal has added momentum to the company’s stock activity. Block deals are generally executed between large investors and allow major shareholders to unlock liquidity without disrupting daily trading activity on exchanges.
According to the shareholding pattern of the company as of June 2025, Suneeta Reddy has a 3.36% stake in Apollo Hospitals. After the proposed stake sale, her stake would become approximately 2.11%. Despite the reduction, the Reddy family would continue to be the primary promoters of Apollo Hospitals.
Analysts are closely tracking the Apollo Hospitals Share Price for short-term movements. This move is being widely interpreted as Reddy's strategic way to realize some of her investment and create liquidity while keeping a large position in the company.
Apollo Hospitals shares continue to be in a strong uptrend with a gain of over 9% over the past month, 25% in the last six months. Apollo Hospitals trades at a current price to earnings (P/E) above 71, which is showing a rich valuation driven by strong investor demand.
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Earlier this month, Apollo Hospitals stated that its consolidated net profit for the quarter ending June 30, 2025, increased 42% year-on-year to Rs 433 crore. The movement in net profit was driven by better performance in its core healthcare services, diagnostics, and its digital health business.
The Apollo Hospitals Q1 results 2025 highlight growth in both revenue and margins. Revenue for the quarter was up 15% year-on-year to Rs 5,842 crore, while EBITDA was up 26% to Rs 852 crore, supported by improvements in operational efficiencies and greater margin expansion.
Analysts believe it is unlikely that the proposed stake sale will impair Apollo Hospitals' long-term growth potential, as its fundamentals are strong. But the sale will impact investor perception in the short term, particularly at the current elevated valuation levels.
For Reddy, the move underscores a strategic financial decision, unlocking capital while maintaining her position as one of the key promoters. Apollo Hospitals continues to strengthen its leadership in India’s healthcare sector.
Market observers will watch closely to see how the block deal gets done and the potential impact on momentum for the stock in the coming weeks.