Private equity firm TPG-backed healthcare platform Asia Healthcare Holdings (AHH) is looking to raise up to $350 million (about ₹2,593 crore) from new and existing investors, said two people aware of the development.
AHH is an operating and investment platform founded by TPG Growth with a focus on single-specialty healthcare. As an operating platform, AHH gives small, single-specialty healthcare firms access to experienced healthcare executives in India.
As an investment vehicle, AHH offers TPG Growth specialized, differentiated capabilities in growing healthcare businesses.
“The capital raised will be used to acquire new single-specialty healthcare businesses as in the past. They have invested and scaled three such businesses, so they have a lot of experience now on running and growing such single-speciality chains and they would look to replicate the same experience in other similar businesses in the healthcare sector,” said one of the people cited above.
The person did not give a timeframe for the fundraise.
TPG declined to comment.
AHH was launched in India in 2016 following the acquisition of cancer hospital chain Cancer Treatment Services International (CTSI) for $38 million. In 2019, the platform sold CTSI to US-based radiation oncology treatment solutions company Varian Medical Systems for about $283 million.
Similarly, in 2016, the healthcare platform took a majority stake in Bengaluru-based Rhea Healthcare, which operates mother and child care hospitals under the Motherhood brand, for $33 million. Today, Motherhood is one of the fastest growing chain of women and children’s hospitals in the country.
AHH’s latest acquisition came in 2019 when it acquired Nova IVI Fertility, the second-largest fertility chain, for almost $100 million. AHH has turned around the chain and it is now a profitable business.
In an interaction with Business Today earlier this month, Vishal Bali, executive chairman of AHH, said the platform will potentially cross annual revenues of ₹800 crore in the next five years, making it the largest mother and child platform in India.
He said AHH plans to double the number of centres of Nova and Motherhood within the next five years. Mint