Tata Capital PE to Invest INR 400 Cr+ in Health & Senior care

The investment aims to support growth in various segments of the healthcare sector, generate employment, increase health beneficiaries, and transform the healthcare investment landscape with its healthcare equity fund that leverages its operational expertise.

Tata Capital, the financial arm of the Tata Group has planned to invest over INR 400 Cr ($50 million) in the healthcare and life sciences sector over the next 9-12 months.

The investment was made through Tata Capital Healthcare Fund II (TCHF II), which is a healthcare-focussed private equity fund of Tata Capital and has a corpus of about $130 million.

Reportedly, the fund has already invested 60% of the corpus in a range of segments in the healthcare sector, such as pharma manufacturing, cancer care, senior citizens and diagnostics.

The investment aims to support growth in various segments of the healthcare sector, generate employment, increase health beneficiaries, and transform the healthcare investment landscape with its healthcare equity fund that leverages its operational expertise.

According to the preliminary statistics from portfolio companies over the last year, the fund has seen a 46.7% rise in jobs and a 7% increase in the number of beneficiaries, accounting for more than $9.5 million.

TCHF is a growth-oriented private equity fund focused on the healthcare and life sciences sector in India. The fund is sponsored by Tata Capital Ltd. TCHF has raised nearly $200 million across two funds - TCHF I (2012) and TCHF II (2022). Across both funds, TCHF has invested in 16 companies and has successfully exited six companies so far.

According to a report by Tata Healthcare Fund assessment, around 21 million dialysis sessions are conducted on an annual basis in India, and this is estimated to be an abysmal 11% of the overall annual need of the country.

Established in 2007, Tata Capitals is a subsidiary of Tata Sons. TCHF is a growth-oriented private equity fund focussed on the healthcare and life sciences sector in India.

The fund is sponsored by Tata Capital Ltd. Its growth-oriented private equity fund is TCHF which invests in the healthcare and life sciences sector in India. TCHF has raised nearly $200 million across two funds-TCHF I (2012) and TCHF II (2022) to support and accelerate the growth of business in the healthcare and life sciences sector.

Last month, Tata Capital led $1O million funding in Mumbai-based Apex Kidney Care, which is India’s second-largest dialysis chain. With this newly infused capital, AKC sought to expand its dialysis network to 300 centres across India in the next 18- 24 months.

Out of these, about 50-60 dialysis centres will operate as standalone centres. The expansion sought to primarily begin in metro and Tier-I cities that offer better margin profiles and profitability.