KKR-backed hospital management company Radiant Life Care has completed the acquisition of 49.7 percent stake in the Max Healthcare Institute from the South Africa-based Life Healthcare.

Radiant Life Care's promoter Abhay Soi will now be the Chairman of Max Healthcare's board and its executive council.

"As part of the transaction, Max India's promoters will receive an advance of Rs 361 crore ($52.2 million) from KKR in exchange for a 4.99 percent stake in the merged entity. Max India's promoters will use the funds for deleveraging purposes," the companies said in a joint statement on Friday.

Commenting on the acquisition, Analjit Singh, founder and Chairman of Max Group, said: "The merger and the future planned expansion will provide the scale that MHC needs for profitable growth at a time when healthcare margins are being tested. I also want to thank our outgoing JV partner Life Healthcare for being supportive participants in MHC's growth and progress."

Radiant funded this acquisition with an investment from KKR's "Asian Fund III". The process of combining Radiant Life Care and Max Healthcare and the eventual listing of Max Healthcare is underway, and is likely to be completed in six to eight months, subject to receipt of the requisite approvals, the statement said.