Medway Hospitals Bags $5 Mn in First Institutional Equity Funding Round

Medway Hospitals, currently managing eight healthcare facilities, provides extensive tertiary care services covering critical care, orthopaedics, neurology, nephrology, neurosurgery, organ transplantation, pulmonology, urology, and other specialities.

Medway Hospitals, a multi-speciality healthcare chain operating eight hospitals in Tamil Nadu and Seemandhra, has raised $5 million in its first round of institutional equity funding. The funding round was led by Kyra Ventures, with participation from family offices.

The hospital chain, offering tertiary care services such as critical care, orthopaedics, neurology, nephrology, neurosurgery, organ transplantation, pulmonology, and urology, currently maintains around 500 beds across its locations, with each unit comprising 50-100 beds.

In 2021, Medway Hospitals established a heart institute in Chennai, earning both JCI and NABH accreditation in South India. The chain initiated its organ transplant program in the same year, completing over 150 renal transplants to date.

Dr T Palaniappan, chairman, Medway Group of Hospitals, noted that the focus has always been on delivering quality healthcare in Tier II cities. The recent funding will facilitate the acceleration of expansion plans, aiming to reach 1000 beds by 2026.

Dr Palaniappan said, "Our hospitals have proficiency in managing and treating a wide spectrum of complex medical conditions." He also highlighted the recent launch of the Institute for Pulmonology & Pulmonary Rehabilitation to address the rising cases of respiratory illnesses in children and the elderly.

Expressing excitement about the partnership, Hari Prasad, partner, Kyra Ventures, said, "The promoters are committed to closing the healthcare gap in underserved areas by creating access to affordable, patient-centric clinical excellence."

The funds raised will play a pivotal role in supporting Medway Hospitals' mission to enhance healthcare standards in India, particularly in regions with limited access to medical facilities. Nova Capital Advisors served as advisors to the transaction.

In a similar development, just days back, Kolkata-based kidney care provider Nephrocare India raised INR 8.08 Cr in a pre-initial public offering (IPO) round led by HDFC's Deepak Parekh. The company plans to utilise the funds to establish 300 comprehensive kidney care clinics across India over the next eight to ten years.

Further, Nephrocare aims to open 22 high-end comprehensive kidney care facilities by March 2026, with the launch of four centres by the end of the current financial year.

Similarly, multi-speciality hospital chain Jupiter Life Line Hospitals concluded its pre-IPO placement in August 2023, securing a whopping INR 123 Cr. Further, Jupiter received capital markets regulator SEBI's approval to raise funds through IPO.