Chennai: Dr Agarwal’s Eye Hospitals has raised around $45 million from private equity firm ADV Partners to enable it to expand its network across India and to other countries over the next four years, the hospital said on Friday.
Of the total investment, an undisclosed sum will be utilised to give an exit to existing investors, Evolvence India, the hospital said in a statement.
The expansion will be through a mix of strategic joint ventures and greenfield hospitals.
“We have brought world class eye-care services to every doorstep in India. Our Vision 2020 is to strengthen the brand and double the number of hospitals with a footprint across India, Africa, Middle East and South-east Asia," said Amar Agarwal, chairman and managing director, Dr Agarwal’s.
The Chennai-based hospital chain, which currently has 60 eye hospitals, including 45 in India and 14 in Africa, will expand to UAE, Sri Lanka, Vietnam and the Philippines.
On the domestic front, the group will consolidate its presence in existing states and will be setting up new hospitals in Kerala, Gujarat, New Delhi, Maharashtra and Punjab.
Hong Kong-based private equity firm ADV’s investment is in the form of compulsorily convertible preference shares in the privately held Dr Agarwal’s Healthcare Limited (AHCL). ADV Partners is currently investing from its maiden $550 million fund.
“Healthcare services and delivery is an interesting space and ADV Partners is excited at the opportunity to partner with Dr Agarwal’s and support its growth plans in India and abroad" said Suresh Prabhala, the Singapore-based partner of ADV, who will be inducted into the board shortly.
The hospital chain said in a statement that Veda Corporate Advisors acted as its financial advisors in the transaction.