Delhi-based healthcare focused venture capital fund HealthQuad has achieved its final close and has committed Rs 750 million investment in thematic and disruptive healthcare startups in India.
The fund by the leading healthcare private equity investors Dr Amit Varma, Abrar Mir and Charles Antione Janssen, which is the first early stage investment vehicle of choice of several healthcare companies, aims to invest around Rs 4 billion in disruptive Indian healthcare companies that have the potential to dramatically improve the productivity, affordability and accessibility of healthcare through innovative solutions.
“Healthcare sector has seen emergence of over 500 startups in the last two years and venture capital firms have infused around Rs 25 billion. We are looking to deploy around Rs 4 billion, along with co-investors and partner funds in healthcare models that are driven by new age disruptive technology and are changing the way healthcare is delivered and accessed in India,” Dr Varma said.
HealthQuad’s investment strategy focuses on five key healthcare sub-sectors — healthcare delivery services, life sciences, medical devices and technology, healthcare IT and associated healthcare services. Currently, it is seeking to invest in 8-10 companies.
“Our deployments in healthcare across sub-sectors and geographies provide extensive synergies to help companies scale-up rapidly and that forms the basis of our compelling proposition to healthcare entrepreneurs in India,” said Mir.
Before its final close, HealthQuad has already made investment in four companies including the recently announced investment in Regency Healthcare.
Valued at over Rs 7 trillion, the Indian healthcare sector is growing at a rate of over 15 per cent per year, making it one of the most attractive sectors for investment by the private sector.
Healthcare is witnessing emergence of a good number of startups, especially those who are looking to use information technology to bridge healthcare service delivery gaps in the country.
“Our first four HealthQuad investments have confirmed that business model innovations and health tech innovations will open access to quality healthcare for hundreds of millions of neglected Indians. Our final close will allow us to fund more, fast growing, profitable and highly impactful companies. We look forward to supporting great entrepreneurs for the benefit of patients as well as our LPs,” said Charles Antione Janssen, fund’s co-sponsor.