Concord Enviro Systems Pvt Ltd, an environmental engineering solutions firm, has raised funding in the region of $10 million from Sage Capital Funds Management Pvt. Ltd, a source familiar with the transaction told VCCircle. This is a maiden deal by Sage NPE Fund I, managed by Sage Capital.
Concord is engaged in development, manufacturing and installation of waste water treatment and reuse systems. o3 Capital was the Sole Advisor to Concord Enviro for this transaction.
Concord is a 15-year-old company that has installed around 350 waste water treatment and recycle plants in India, Vietnam, Jordan, Philippines, Italy, Mexico, Australia, New Zealand and Sri Lanka based on its patented membrane based separation technology. Its key customers are defence forces like Army, Navy, Coast Guards and corporate clients include Biocon, Cipla, Jubilant Organosys, Lupin, ONGC, Raymonds and United Breweries.
Sage Capital, which invests $5-15 million across each deal, has been formed by former Ambit Capital partner and CEO Manish Kanchan. The firm has made some proprietary investments before in areas like logistics, infrastructure, real estate and jewellery.
Waste water management sector is catching attention of private equity players as rising urbanisation increases demand for such services. The water and wastewater treatment equipment market in India is valued at Rs 5,400 crore expected to grow at a compounded annual growth rate (CAGR) of 13% annually over the next 5 years.
Some investment in this areas include ICICI Venture's investment in VA Tech Wabag and IDFC Private Equity's investment in Ahmedabad-based water management company Doshion Ltd.