New Delhi, April 17 -- Healthcare-focused private equity firm InvAscent, currently raising its fourth fund, has invested Rs 140 crore in SRV Hospitals, a Mumbai-based multi-speciality hospital chain, it said on Thursday.
This marks InvAscent's fifth investment from its fourth fund, following its most recent deal in January when it acquired a minority stake in geriatric care service provider Geri Care.
The announcement comes nearly two months after VCCircle first reported that InvAscent was set to invest around Rs 125-140 crore in SRV Hospitals through a primary transaction. The capital will be used to fuel SRV's growth--both organic and inorganic, VCCircle had reported.
The press statement said the investment will enable SRV Hospitals to strengthen its multispecialty critical care-focused model. "This investment from InvAscent is a strategic alignment of purpose. This capital will strengthen our core and extend our impact," said Abhay Vispute, director at SRV Hospitals.
InvAscent launched its fourth fund in mid-2023, targeting a $325-million raise to push its total AUM closer to $1 billion. The fund crossed the halfway mark in June last year, and since marking its first close in December 2023, has backed Mavia Pharma, Fleming Laboratories, and ABI Health Technologies, in addition to SRV and Geri Care. Previously, the PE firm raised $250 million for its third fund, which hit the final close in 2019. In September 2014, its second fund, India Life Sciences Fund-II, raised Rs 875 crore ($146 million then). The firm's debut fund, anchored by Dubai-based fund-of-funds manager Evolvence, raised $100 million in 2006.
InvAscent primarily invests in pharmaceuticals, healthcare services, animal health, and medtech, typically deploying between $10 million and $40 million over the course of investment. To date, InvAscent has invested in about 35 healthcare companies and manages approximately $800 million in assets across four funds. Notable investments include Gland Pharma, Dr Agarwal's, Neuland Labs, Ankura Hospitals, Aizant Drug Research Solutions, Enaltec Labs, Comprehensive Prosthetics & Orthotics, and Relisys Medical Devices.
Meanwhile, SRV Hospitals, founded in 2015, offers diagnostics services, medical and surgical treatment, emergency and intensive care services, and rehabilitation. It operates over 500 beds across five tertiary care hospitals in Mumbai, Bengaluru and Nashik.
The company's standalone net sales fell to Rs 21.3 crore for the year ended March 2024 from Rs 24.5 crore the previous year. Its net loss widened to Rs 4.6 crore from Rs 0.8 crore during the period, according to VCCEdge, the data research platform of VCCEdge.
Published by HT Digital Content Services with permission from VC Circle.