3rd Evolving Healthcare Investment Landscape

A Conference on Scope of VC & PE ,Debt and

Angel Funds in Healthcare

Private Equity view of

Healthcare
By Ananta P Sarma, MD&CEO,
SIDBI Venture Capital Ltd

India Healthcare- Loads of potential

Fragmented
Large and rapidly growing market
Rapid advances in
Healthcare delivery systems
Pharmaceuticals
Diagnostics
Remote Technologies
Medical devices and equipment
Insurance
Current Low Penetration

India Healthcare- Loads of potential

Lack of Infrastructure

Lack of Healthcare Management Expertise

Market is like the 2 salesmen connundrum:

The first salesman reported back,This is a terrible
business opportunity, no-one wears shoes.
The second salesman reported back,This is a
fantastic business opportunity, no-one wears shoes.

Advantage Healthcare India

Doctors available
Technical manpower available
Low manufacturing costs
Low labour costs
Economies of scale
Pricing power
Life Expectancy
Technology

If you invest early enough and that is now and earlier the better,
you will make enough returns on equity in the healthcare sector

Catalysts

Sales of Generic Medicines

Rural penetration
Higher Lifestyle diseases
Long term medication
Government expenditure in healthcare
Heightened awareness
Increasing affluence
Health Insurance

Our Healthcare Investments

A pharmaceutical company- exited
A hospital chain in Tier 2 and Tier 3 towns
A manufacturer of blood bank and blood
related equipment
An on line care-giver
A diabetes speciality hospital
We are looking forward to making more
investments in line with our philosophy of
supporting MSMEs

SIDBI Venture Capital Ltd

SVCL manages 5 PE/VC Funds and
are raising 3 more
1 international fund
2 state specific funds including West
Bengal Fund

SVCL has substantially disinvested

profitably from the first 2 funds
Normally, SVCL invests only in
MSMEs and enable them to grow

Thank you