A new fund of Rs 300 crore – Rs 400 crore focusing on healthcare and lifescience, spearheaded by Trivitron Healthcare founder G S K Velu is expected to hit the market by early next year. Velu, who recently sold his shares in pathology lab chain Metropolis Healthcare Ltd, will contribute a major share of about 60% to the fund.
The new fund is expected to hit the market by January or February 2016 and will be managed by professionals, said Velu, who refused to discuss his exit from Metropolis.
According to reports, Velu was disappointed in a deal which was concluded between PE firm Warburg Pincus and Shah family in April. Warburg Pincus sold its entire 27% stake in Metropolis to the Shah family.
Founded in 1981, both Shah family and GSK Velu and family owned 36.5% stake each as of September 30, 2014. The rest was with Warburg Pincus.
Health care and life science as a whole have given good returns and they are recession proof also, he pointed out.
On Trivitron, he said, the company is growing and looking at more M&As. The company is targeting around 15-20% growth organically, with current revenues of about Rs 700 crore.
At some point of time, Trivitron will go for an initial public offer (IPO), when the company becomes a $1 billion in value, he added.
Currently the company has eight manufacturing factories including four in Chennai, two in Mumbai, one in Pune and one in Finland. The company said it is open for setting up facilities in developing countries like China, Malaysia, Turkey to have a plant. Depending on the incentives.