New Delhi, Sept. 12 -- Apollo Hospitals Enterprise Ltd on Friday announced that it will acquire a 31% stake in its subsidiary Apollo Health and Lifestyle Ltd from International Finance Corporation for Rs.1,254 crore.

With this, Apollo Health (AHLL) will become a 100% subsidiary of Apollo Hospitals (AHEL), with 99.42% held by AHEL and the balance in the employee stock options pool, the company said in a statement.

The stock purchase is expected to create more flexibility for capital allocation and improve returns on capital employed across Apollo's businesses, Apollo Hospitals said.

Apollo, which is one of the largest hospital chains in the country, has been focusing on unlocking value across its subsidiaries as India's private healthca...