As part of the deal, Radiant will buy 266 million shares in Max Healthcare at Rs 80 per share.
Radiant Life Care Pvt Ltd, a hospital chain backed by private equity firm KKR & Co, will acquire 49.7% stake in Max Healthcare from South Africa-based Life Healthcare Group Holdings Ltd for $293 million.
The development comes after Radiant failed to buy India's second-largest hospital chain, Fortis Healthcare Ltd.
As part of the deal, Radiant will buy 266 million shares in Max Healthcare at Rs 80 per share. The transaction is expected to be finalized by the end of the December.
Life Healthcare will use the net disposal proceeds for settling its debt and for investing in growth opportunities. It will also help the company to focus on its core markets in South Africa, the UK, Poland and Western Europe.
Life Healthcare said, "The company will initially utilise the net proceeds (less estimated costs and taxes) from the disposal to settle debt as well as to invest in growth opportunities in the company's core markets."
In 2012, Life Healthcare had acquired stake of 26% in Max Healthcare. But, it was subsequently increased to 46.25% in 2014.