Tata Capital Healthcare fund leads $20 million investment in Harsoria Healthcare

Tata Capital Healthcare Fund II (TCHF II), the healthcare-focused private equity fund of Tata Capital Ltd., has led a $20 million investment in Harsoria Healthcare Private Limited, a manufacturer of single-use medical devices, for an undisclosed equity stake. Other participants in the funding round include Utpal Sheth, Ashish Kacholia and associates, and the LNB Group.

Harsoria Healthcare plans to use the capital to increase manufacturing capacities, enhance research and development efforts, and support business development initiatives.

India’s medical devices industry is the fourth largest in Asia and ranks among the top 20 globally. It is projected to grow at a compound annual growth rate (CAGR) of 13% over the next five years, with an estimated market value of $22 billion. Indian companies in the medical consumables segment have historically focused on low-value, commoditised product categories but are now shifting towards high-value segments.

Candle Partners served as the exclusive financial advisor to Harsoria Healthcare and its shareholders for this transaction.

Commenting on the partnership, Ms Visalakshi Chandramouli, Managing Partner at Tata Capital Healthcare Fund II, said, “We are thrilled to partner with Harsoria Healthcare, a leading Indian manufacturer of vascular access devices with a robust presence in international markets. Under the leadership of first-generation entrepreneurs Neeraj and Nitin Gupta, the company has thrived over two decades by focusing on product innovation and manufacturing high-quality medical consumables. Harsoria exemplifies the ethos of ‘Make in India for the World,’ with its products achieving success in markets like the US and Western Europe. We believe in the company’s potential and look forward to being a part of its growth journey.”

Neeraj Gupta, Managing Director of Harsoria Healthcare, said, “This is an extremely proud moment, and an important milestone, for the Harsoria group as we commence our partnership with some of the leading investment houses in India. This reaffirms the strength of our business model that has evolved with contributions from all stakeholders in the organisation – our employees, customers, suppliers and investors. We look forward with great excitement to accelerating our growth trajectory, while remaining committed to developing high-quality, innovative and cost-effective medical devices for global and Indian healthcare providers.”