GTI to invest $50m in Indian hospital chain expansion

Nova Medical Centres has already opened its first facility in Bangalore and has started building a second.

GTI Group, a private equity firm investing in India and the US, will invest roughly $50 million in growth capital over the next two years in Nova Medical Centres, Suresh Soni, chief executive officer of Nova and a partner at GTI, said in an interview.

GTI- and Mahesh Reddy-backed Nova, which has opened a day care medical centre in Bangalore, is looking to expand across India. The company said that a second medical centre is already under construction in Bangalore and others are being planned across the country.
The company plans to be in five cities by the end of 2009 and in the next three years, it intends to launch 100 such centres in India.

The company’s footprint and operating model “is designed for rapid scale”, Jonathan Schulof, president of GTI Group, said in a statement.

GTI is a proprietary fund that makes growth capital investments in lower middle market companies in India and the US. The firm focuses on investments in media and telecom, aviation, IT and software, industrial technology, clean technology, energy and energy services.

The firm has offices in Bangalore and New York.