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Key Points

India has become the top destination for healthcare private equity in Asia-Pacific despite regional declines. The country's resilience stems from successful exits like Advent's $1.6 billion BSV Group sale to Mankind Pharma. Investments are concentrating on hospitals, clinics, and biopharma services as spending heads toward $320 billion by 2028. Bain & Capital's report highlights India's proven returns through IPOs and sponsor deals like KKR's Healthium acquisition.

Key Points: India Leads Asia-Pacific in 2024 Healthcare PE Investments

  • India's healthcare PE volumes fell only 18% vs 49% Asia-Pacific decline
  • Advent's $1.6B BSV-Mankind deal boosted investor confidence
  • Hospitals and clinics attracted most provider-space investments
  • Healthcare spending projected to hit $320B by 2028
2 min read

India gets largest PE investment in healthcare sector in Asia-Pacific region during 2024: Report

India dominates Asia-Pacific healthcare PE deals with 26% volume share despite regional downturn, fueled by strong exits like Advent-Mankind Pharma deal.

"India appears more resilient to deal downturns than other countries in the region - Bain & Capital Report"

New Delhi, April 23

With 26 per cent of the deal volume, India has emerged as the largest private equity buyout in the healthcare sector in the Asia-Pacific region in 2024, said a report by the global private investment firm Bain and Capital.

The wider Asia-Pacific market, however, grapples with a decline in buyout activity, with regional volumes plummeting by nearly 49 per cent.

"India also appears more resilient to deal downturns than other countries in the region, with buyout volumes dipping only 18 per cent from 2023, vs. a nearly 49 percent drop across Asia-Pacific overall", said the report

This growth can be attributed to a combination of buoyant capital markets, strong economic fundamentals, and a burgeoning investor confidence, fuelled by successful private equity exits, such as Advent International's USD 1.6 billion sale of BSV Group to Mankind Pharma.

"Successful PE exits with strong returns, such as Advent International's USD 1.6 billion sale of BSV Group to Mankind Pharma, have also validated India's buyout market, making it more attractive for future investment," the report added.

Strong growth is projected to continue in India's healthcare sector, with healthcare spending expected to reach USD 320 billion by 2028.

In India, over the past two years, investments have come in the provider and related services space and biopharma and related services, with a sharper focus on provider deals. In the provider space, investments have gravitated to hospitals, clinics, and supporting services.

The report highlighted that the India has consistently delivered favourable returns and has enabled a range of successful exits for PE firms through initial public offerings (boosted by strong public markets), strategic acquisitions (bolstered by acquirers' strong balance sheets), and sponsor-to-sponsor deals (such as KKR's USD 839 million acquisition of Healthium Medtech from Apax Funds).

"With a proven track record, favourable macroeconomic conditions, and a diverse healthcare landscape, India is expected to remain a prime investment location for PE firms," the report added.

- ANI

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Reader Comments

R
Rahul K.
This is fantastic news for India's healthcare sector! 🎉 More investments mean better infrastructure and services for patients. Hope this translates to more affordable care options too.
P
Priya M.
While the investment numbers look impressive, I hope there's equal focus on rural healthcare access. Most private investments tend to concentrate in urban areas, leaving smaller towns behind.
A
Amit S.
The Mankind Pharma deal was a game-changer! Shows how mature India's healthcare market has become. Excited to see what this means for medical innovation in the country.
N
Neha T.
Interesting how India's only down 18% while the rest of APAC dropped 49%. Our fundamentals really are stronger than most realize. Makes me proud to be working in this sector!
S
Sanjay R.
The article mentions USD 320 billion healthcare spending by 2028 - that's massive! But will this growth benefit ordinary citizens or just create more premium hospitals for the wealthy?
K
Kavita P.
As someone in biopharma, I can confirm the investment climate has never been better. We're seeing so much interest in our research projects lately. Great time to be in healthcare!

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