Tata Capital’s healthcare arm invests $10 million in Apex Kidney Care

Dialysis service chain Apex Kidney Care has raised $10 million ( ₹83.3 crore) in a mix of primary and secondary investment as part of its funding round from Tata Capital Healthcare Fund, the healthcare-focused arm of private equity firm Tata Capital Ltd. The Mumbai-based healthcare chain will use the fresh money to expand its dialysis services across the country.

Notably, this is the second transaction in the nephrology space in the last month. In September, Asia Healthcare Holdings (AHH) acquired a majority stake in the Asian Institute of Nephrology and Urology (AINU) for ₹600 crore ($72.1 million) through a mix of primary and secondary investments.

Indranil Roy Choudhury, chief executive of Apex Kidney Care, said “We will continue to partner with clinicians both in existing and newer geographies as we plan to ramp up our existing infrastructure."

Apex Kidney Care primarily provides kidney care and dialysis services and runs a chain of dialysis centres. It currently operates around 180 such centres across 120 cities in India.

“We aim to work with Apex Kidney Care and make quality and cost-effective services available to nephrology patients,” added Vamesh Chovatia, partner, Tata Capital Healthcare Fund II.

Tata Capital Healthcare Fund is a growth-stage PE fund focused on the healthcare and lifesciences sector in India. It is sponsored by Tata Capital Limited, a subsidiary of Tata Sons Limited, and has raised commitments of around $200 million across two funds. Its latest fund marked its final close at ₹955 crore ($126 million), more than the targeted ₹950 crore excluding the green shoe option.

Chovatia told VCCircle that 65% of the corpus has been deployed to date across seven startups including Apex Kidney Care, and the firm plans to deploy the rest by the end of June 2024.