19 Sep 2022

Investcorp, a leading global alternative investment firm, announced that it has sold its stake in ASG Eye Hospital (“ASG” or the “Company”), the second largest eye care hospital chain in India, to General Atlantic and Kedaara Capital.

Investcorp invested in ASG in 2017 and has worked closely with its founder and management team to drive significant expansion and revenue acceleration by implementing several value enhancement initiatives. During the period Investcorp was an investor in ASG, ASG successfully executed a domestic expansion strategy, entering new and under-served markets in India. As a result of these initiatives, the number of hospitals operated by ASG in India has increased two-and-a-half fold and revenues have tripled since Investcorp’s investment. Earlier this year, ASG won the bid to acquire Vasan Eye, a large eye care hospital chain in India. This acquisition will expand ASG’s footprint in South India.

Investcorp sold its shareholding as part of a growth capital funding round of INR 15 billion, marking India’s biggest private equity funding in the eye care space and one of the largest private equity transactions in the single specialty healthcare industry in the country.

Commenting on the exit, Gaurav Sharma, Head of Private Equity India at Investcorp, said, “It gives us great pleasure to see that ASG has grown to become one of the most prominent eye care chains in India. Millions of people have had access to quality eye care through ASG over the past two decades. It was a pleasure working with ASG’s founder, Dr Arun Singhvi, and ASG’s leadership team and we wish them continued success in their next phase of growth.”

Yusef Al Yusef, Head of Investcorp’s Private Wealth commented, “During our investment holding period, ASG Eye Hospitals has seen significant growth. The company has increased the number of hospitals two-and-a-half fold and has grown revenues three-fold, while providing quality and affordable eye care. Our investment in ASG was in line with our strategy to invest in sustainable business models in the healthcare industry in India, and we wish the team continuous growth and success.”

In India, Investcorp is an active investor in mid-market companies across consumption-linked sectors and in the real estate business. In the private equity space, Investcorp targets opportunities across the Healthcare, Software and Business Services, Financial Services and Consumer sectors. Its investments over the last four years include Wingreens, V-Ensure, Intergrow Brands, Bewakoof.com, Freshtohome, Zolo, InCred, Citykart, NephroPlus, Unilog, XpressBees, and Safari Industries.