The Japan Bank for International Cooperation (JBIC), a financial institution controlled by Japanese government, has invested Rs 63 crore ($10.5 million) in Takshasila Hospitals Operating Pvt Ltd, which runs a Bangalore-based multi-super speciality hospital under the banner of Sakra World Hospital.
Takshasila Hospitals is a joint venture between Japanese hospital chain operator Secom besides Toyota Tsusho Corporation and Kirloskar Group.
JBIC has invested through compulsorily convertible preference shares issued by the firm.
The firm had set up Sakra World Hospital in 2012 with an investment of about Rs 235 crore. This hospital has 300 beds and according to the firm’s website, this was the first step towards providing an infrastructure of 20,000 beds, pan India.
J. Sagar Associates (JSA) advised Toyota Tsusho Corporation, Secom and Takshasila Hospitals in connection with the investment by JBIC. JBIC was represented by Ashurst and ILP. Kirloskar was represented by its internal team.
Hospitals chains have been attracting private equity firms with several deals in the recent past, including some involving secondary PE deals. Most recently, ICICI Venture sealed a deal to acquire a significant minority stake in Hyderabad-headquartered Krishna Institute of Medical Sciences Limited (KIMS) for Rs 220 crore ($36 million).
Other significant transactions include Aster DM Healthcare raising $60 million afresh from existing investors Olympus Capital and India Value Fund; Carlyle buying out Avenue Capital from Medanta and Kolkata-based Medica Synergie raising funding from a consortium led by Quadria Capital.
(Edited by Joby Puthuparampil Johnson)