ChrysCapital Invests in Centre for Sight to Support Expansion

Indian private equity firm ChrysCapital is investing up to $100 million in Centre for Sight (CFS), a leading eyecare chain with 83 centers across 39 cities in India, to support its expansion plans and meet the growing demand for eye care services in the country. The investment will enable CFS to accelerate its growth, potentially pursue acquisitions, and further establish itself as a prominent player in India's healthcare sector." This description focuses on the primary topic of the investment, the main entities involved (ChrysCapital and Centre for Sight), the context of India's healthcare sector, and the significant actions and implications of the deal. It provides objective and relevant details that will help an AI generate an accurate visual representation of the article's content.

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ChrysCapital Invests in Centre for Sight to Support Expansion

ChrysCapital Invests in Centre for Sight to Support Expansion

ChrysCapital, a leading Indian private equity firm, is investing up to $100 million in Centre for Sight (CFS), a prominent eyecare chain with 83 centers across 39 cities in India. The investment will support CFS's expansion plans and help meet the growing demand for eye care services in the country.

As part of the transaction, ChrysCapital will acquire the entire stake held by Mahindra Holdings Ltd, a subsidiary of Mahindra & Mahindra Ltd, in Centre for Sight. The investment involves a mix of primary infusion and purchase of Mahindra Holdings' stake, providing an exit for the latter, which invested in CFS in 2019.

Why this matters: This investment highlights the growing importance of India's healthcare sector, which is expected to continue to attract significant investments in the coming years. The deal also underscores the need for quality eye care services in India, where the demand is increasing rapidly.

Centre for Sight, founded in 1996 by Dr. Mahipal S. Sachdev, has a strong presence in North India and treats over 1.5 million patients annually. The company boasts a team of over 300 doctors from premier institutions across the country. "This investment from ChrysCapital... will support CFS in accelerating its expansion plans," stated a press release on the transaction.

Raghav Ramdev, Managing Director at ChrysCapital, emphasized the potential in India's healthcare sector, saying, "The healthcare sector in India is a key area of focus for ChrysCapital given the significantly underserved market and the potential for share gain for organised players." ChrysCapital sees an opportunity for Centre for Sight to further scale through acquisitions in the coming years.

Dr. Mahipal Sachdev, Chairman and Founder of Centre for Sight, expressed his excitement about the partnership, stating, "I am delighted and excited to welcome ChrysCapital, one of the most sought-after investors, as a valued partner in the next phase of growth of the business. " Puneet Renjhen, Head of Partnerships and Alliances at Mahindra Group, noted that "For Mahindra Group, the CFS investment exemplifies our focus on long-term sustainable value creation. "

The eyecare industry in India has attracted significant investments in recent years, with over $1.05 billion poured into the sector in the last couple of years alone. The ChrysCapital-CFS deal highlights the growing interest of risk investors in single-specialty healthcare providers in the country. ChrysCapital recently closed its largest ever continuation fund at $700 million.

Several advisors facilitated the transaction, with o3 Capital acting as the exclusive financial advisor. Alvarez & Marshal advised ChrysCapital on commercial and financial diligence, while Shardul Amarchand Mangaldas & Co, IndusLaw, and DMD Advocates served as legal counsel to ChrysCapital, Mahindra Group, and CFS respectively.

The ChrysCapital-Centre for Sight deal, valued at up to $100 million, marks a significant milestone in the Indian eyecare industry. With ChrysCapital's backing, Centre for Sight is well-positioned to accelerate its expansion plans, meet the growing demand for eye care services, and potentially pursue acquisitions to further scale its operations. The transaction also underscores the increasing attractiveness of single-specialty healthcare providers to risk investors in India.

Key Takeaways

  • ChrysCapital invests up to $100 million in Centre for Sight, an Indian eyecare chain.
  • The investment will support CFS's expansion plans and meet growing demand for eye care services.
  • ChrysCapital acquires Mahindra Holdings' stake in CFS, providing an exit for the latter.
  • The deal highlights the growing importance of India's healthcare sector and eyecare industry.
  • CFS plans to accelerate expansion and pursue acquisitions with ChrysCapital's backing.