Commelina Ltd, an affiliate of Creador III LP, is investing RM180mil for a minority stake in a North Indian hospital chain Paras Healthcare Pvt Ltd.
Incorporated in 2006 by Dr Dharminder Nagar, Paras operates five hospitals with a total of 730 beds, offering secondary and tertiary care services, Creador said in a statement yesterday.
It said the investment was the 24th overall and ninth in India.
In the same statement, Creador Advisors India LP managing director Anand Narayan said Paras Healthcare was targeting the middle class and is “a differentiator in healthcare”.
“The hospital infrastructure and operations are all developed to provide the best healthcare services at affordable costs. In a landscape where 70% of healthcare costs are currently paid out of pocket, the vision and operational aspects of Paras are relevant.
“We are certain this association shall be fundamental in the evolving landscape of Indian healthcare. Moreover, their presence in Bihar already elucidates their aim and execution capabilities of providing quality specialty medical care even in the hinterlands of the country.”
Anand said Creador was looking forward to assisting Paras in its next phase of growth.
Apart from establishing the first multi-specialty hospital in Gurgaon, Darbhanga and Patna, Paras also has two mother and child hospitals under the Paras Bliss brand in New Delhi and Panchkula.
Creador said the Indian healthcare market is highly underserved with nine beds per 10,000 population, compared with a global average of 30 beds.
“The overall healthcare expenditure of US$160bil (RM686bil) has increased at 17% on a compounded annual growth rate for the last 10 years and private players have become a larger part of the overall pie. North India, which has 40% of India’s population, is characterised by the weakest hospital infrastructure and lowest doctor availability among all regions in India.”
Source : The Star