The greatest deal in the Indian healthcare industry was made by Temasek Holdings, the sovereign wealth fund of Singapore, which paid over $2 billion for a majority position in Manipal Health Enterprises. The $5 billion purchase, which is pending competition commission clearance, values the company at this point at $5 billion.

With 29 facilities spread over 16 cities, Manipal Health Enterprises manages the second-largest hospital network in India, Manipal Facilities, making it a valuable asset for Temasek. Sheares Healthcare, a Temasek-controlled company that already held 18% of Manipal, will purchase an additional 41% interest from the promoter group, Dr. Ranjan Pai and family, and other current investors in the agreement, increasing its ownership to 59%.

After the sale, Dr. Ranjan Pai and his family’s investment will decrease from 52% to 30%, while that of current investor TPG will decrease from 22% to 11%. The National Investment and Infrastructure Fund invested Rs 2,100 crore in Manipal Hospitals two years ago, earning 9% interest. However, sources claim that NIIF is selling the entirety of its stock in the transaction.

Billionaire Ranjan Pai has significantly expanded the education and healthcare company his grandpa, TMA Pai, founded in 1953. Manipal Health Enterprises has been growing quickly. The hospital network already has 8,300 beds spread out over India, and three greenfield projects are currently in the works to increase that number to 10,500. The firm has also founded Stempeutics, a stem cell therapeutics business that creates medicines from adult and embryonic stem cells.

Additionally, the Manipal Group is growing its educational sector. The firm is constructing a sizable campus in Bengaluru that will house the well-known Srishti Institute of Art, Design, and Technology, which Manipal will buy in 2020. Manipal University in Mangaluru will continue to serve as the project’s centerpiece. An endeavor to concentrate more on education appears to be the cause of the partial exodus from the healthcare sector.

Manipal Health Enterprises declined to comment, and a spokeswoman for Temasek stated in a statement that the company “does not comment on market speculation as a matter of policy.” Subject to regulatory approvals, the acquisition is anticipated to close soon.