Tata Capital Healthcare Fund II invests $10 mn in Apex Kidney Care


Tata Capital Healthcare Fund II (TCHF II) has invested up to $10 million in Mumbai-based Apex Kidney Care Private Ltd (AKC) to help the chain expand its dialysis services across India. However, the Tata Group entity did not disclose the equity stake it would take in the dialysis chain.

Indranil Roy Choudhury, group CEO, Apex Kidney Care, said the capital expenditure over the medium term is pegged at Rs 150 crore. Most of the funds would be used for scaling up private sector businesses covering standalone centres, shop-in-shop aka centres within the premises of a hospital or nursing homes, and home dialysis services.

At present, AKC runs 6 standalone centres and the plan is to take the tally in excess of 60 centres in the medium term. The company runs 61 centres with hospitals and nursing homes and manages 84 centres under the Public-Private Partnership (PPP) model in association with the government and municipal bodies.

Vamesh Chovatia, partner, TCHF II, said the fund takes a holistic approach to investing capital and backing companies like AKC that address glaring gaps in healthcare.

India has an estimated 2 million Chronic Kidney Disease (CKD) Stage-5 patients (kidney function below 15 per cent). There are 0.2mn to 0.22mn CKD-5 patients getting added annually. Currently,  around 21 million dialysis sessions are conducted on an annual basis in India, and this is estimated to be an abysmal 11 per cent of the overall annual need of the country, according to Tata Healthcare Fund assessment.  

TCHF is a growth-oriented private equity fund focused on the healthcare and life sciences sector in India. The fund is sponsored by Tata Capital Ltd. TCHF has raised nearly US$ 200 million across two funds – TCHF I (2012) and TCHF II (2022). Across both the funds, TCHF has invested in 16 companies and has successfully exited 6 companies so far.

First Published: Oct 11 2023 | 8:40 AM IST


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