Kauvery Hospitals Receives $70 Million Equity Fund From IIFL AMC

The investment holds significance in Kauvery Hospitals next phase of growth which is likely to move towards an IPO tentatively in the next 3 years

Kauvery Hospitals has raised equity funding of USD 70 million from private equity fund managed by IIFL Asset Management (“IIFL AMC”) for a minority stake.

The investment holds significance in Kauvery Hospitals next phase of growth which is likely to move towards an IPO tentatively in the next 3 years, which comprises augmenting capacities in Chennai and Bangalore, along with expansion in chosen clusters within Tamil Nadu and Karnataka. This also marks IIFL PE’s maiden investment in the multi-specialty hospitals segment and is also amongst the few minority investments in the multi-specialty space in India in the recent times.

“Kauvery is currently in the midst of a fast-paced expansion program, as it plans to reach 1,000 beds each by 2025 in Chennai, Bengaluru and Tamil Nadu clusters. This ramp-up would mean that the network shall comprise 15 hospitals spread across 7 cities in South India, with 3,000+ beds and shall likely go for an IPO, in the next 36 months,” said Dr Chandrakumar, Founder and Chairman, Kauvery Hospitals Group. “IIFL PE has successfully backed numerous growth stories, and their presence on board will accelerate our organic and acquisitive growth across the South India market,” he said.

Dr Manivannan, Founder and MD, Kauvery Hospitals said, “This is a key differentiator for us, and a primary driver of our growth and profitability across all our existing regions. We look forward to having IIFL PE as a valued partner and leverage from its expertise of growth investments within and outside of healthcare.”