Healthcare-focused private equity fund India Venture Advisors has made its maiden investment in Kavery Medical Care and Hospitals (KMC Hospitals), a hospitality group based in the southern Indian city of Trichy.
India Venture Advisors, a part of the Piramal Group, will invest up to INR900 million (€14 million; $18 million) into the healthcare company for a stake of more than 30 percent, Indian daily LiveMint reported.
The firm’s investment in KMC Hospitals is through a combination of equity and warrants, according to the report.
KMC Hospitals plans to expand its operations over the next five years, S Chandrakumar, managing director, told the paper. He said the group currently has a 400 bed capacity and is seeking to increase that number to 1000. The expansion will include organic growth as well as acquisitions, he added.
o3 Capital Advisors advised on the deal.
The Piramal Group is a healthcare company with interests in pharmaceuticals, life sciences, medical research and glass container manufacturing. It also has a real estate arm, Indiareit Fund Advisors, which manages $450 million across three private equity real estate funds.
India Venture Advisors and KMC Hospitals were unavailable for comment at press time.