Healthcare Global Enterprises, the Bangalore-based cancer care provider, is close to raising $10 million (around Rs 50 crore) from Milestone Capital, a India-focussed private equity fund.
Healthcare Global has so far raised close to Rs 150 crore by divesting just under 50 per cent through three rounds of funding from IDFC Private Equity, Premji Invest and Evolvence India Life Sciences Fund. The promoters led by chairman & CEO B S Ajai Kumar hold 32 per cent, while the rest is held is by a few other individuals and corporates.
According to industry information, Healthcare Global is raising fresh funds to expand its presence in Kolkata and Bangladesh and eventually look to add 12 more centres over a period of 18 months. Healthcare Global currently has 16 centres through its network of hub and spoke model. The company owns three hospitals in Bangalore, Vijayawada and Ahmedabad while the Delhi centre is on a long lease. Senior company officials from Healthcare Global confirmed that they are raising funds and are in closing stages of discussions with Milestone Capital.
Industry sources close to the company indicate that Healthcare Global is being valued at Rs 275 crore on a projection of a topline of Rs 185 crore during 2009-10. Healthcare Global is understood to be having a 23 per cent EBIDTA margin.
Milestone Capital was started by former Pantaloon Retail Chief Operating Officer Ved Prakash Arya during 2007 to actively manage investments for Indian & global investors across various asset classes in India. Milestone Group is understood to have invested in projects worth more than $1 billion from 6 funds across three asset classes.
The private equity fund started with a focus on the real estate and infrastructure sector, is looking aggressively at education service providers focusing on K-12, finishing schools, test preparations, colleges, and so on. The fund will also invest in ancillary companies involved in sectors such as domestic consumption plays, physical infrastructure build-out and skills infrastructure build-out.
The fund also has a mandate to invest in hospitality and tourism, wellness, retail, content and consultancy providers. The fund will also invest in firms involved in construction services and equipment providers, logistics, facilities management and alternate energy.
