Regency Health, a corporate chain of tertiary care hospitals in Uttar Pradesh, received Rs 450 crore in investment from Norwest Venture Partners. Regency Health has over 3000 members and a 700-strong bed strength and backed by this capital infusion, it hopes to increase its bed capacity to 2300 by 2027.
By August 2024, the hospital is set to open a 250 bedded facility in Gorakhpur, followed by another 450-bed unit in Kanpur in January 2025, 350-bed unit in Varanasi in January 2026 and another 375 beds unit in Lucknow by February 2027. Regency is also actively exploring opportunities in other cities in UP.
Regency Health’s existing investors, International Finance Corporation (IFC), HealthQuad and Koi Ventures, invested in the company in 2017 and shall get an exit from the company as part of this round.
Abhishek Kapoor, CEO at Regency Health, said, "This investment will significantly enhance our infrastructure and services, directly benefiting the people of UP. Our unwavering 'From UP For UP' ethos aligns seamlessly with our mission to serve the people of Uttar Pradesh.”
Dr. Atul Kapoor, chairman and managing director of Regency Health, highlighted, "We are dedicated to revolutionizing healthcare delivery in Uttar Pradesh, and this capital infusion will be instrumental in achieving our vision. Our upcoming multi-speciality tertiary hospitals, including those in Gorakhpur, Kanpur, and Varanasi, are poised to set new benchmarks in healthcare excellence."
Shiv Chaudhary, managing director of Norwest India, noted that Uttar Pradesh is emerging as an economic powerhouse, and the potential for impactful investments is immense. “This collaboration is a significant step towards realizing Regency's growth aspirations and redefining healthcare benchmarks that will positively impact the lives of Uttar Pradesh's residents," he opined.
o3 Capital acted as the exclusive financial advisor to Regency and its shareholders for this transaction. DSK Legal was the legal advisor to the Company, while Shardul Amarchand Mangaldas advised Norwest on this transaction.