INR 3 billion Investment by Goldman Sachs and NEA
Funds to support continued expansion of specialty surgery and fertility businesses
Bangalore, India, August 13, 2012 -- Nova Medical Centers (Nova), India's leading day/short-stay surgical care and Fertility clinics company, announced today it has secured an equity investment of INR 3 billion (approximately US$54 million) from Goldman Sachs (NYSE: GS) and New Enterprise Associates (NEA). Goldman Sachs, a leading global investment bank, will invest INR 2.2 billion (approximately US$40 million). NEA, a leading venture capital firm and initial investor in the company, will make an add-on investment of INR 800 million (approximately US$14 million). NEA had earlier invested US$15 million into the company. The investments will be used to further expand the company's specialty surgery and fertility businesses.
Established in 2009, Nova develops, acquires, owns and operates day/short-stay surgical centers in partnership with surgeons across India and the Middle East. Nova's mission is to provide world class surgical care that is affordable and conveniently located. Nova pioneered the concept of short-stay surgical care in India and undertakes procedures that take 24-72 hours from admission to discharge. A large majority of Nova's patients get discharged the same day. In August 2011 Nova established a significant presence in the In-Vitro Fertilization (IVF) field by acquiring a majority stake in Pulse Women's Hospital, a well-established IVF clinic based in Ahmedabad. This was further enhanced by a joint venture with IVI, Spain, the world leader in IVF technology. Nova provides upwards of 700 surgical procedures, including specialties in Orthopaedics, Spine Surgery, General Surgery, Gynaecology, Bariatric Surgery, ENT, Plastic & Cosmetic Surgery, Urology, Gastroenterology, Ophthalmology, Pain Management and IVF.
Nova was co-founded by renowned shoulder surgeon Dr. Mahesh Reddy and the GTI Group, based on a "doctor-owned and doctor-managed" concept enabling doctors to have a sense of ownership and a long-term association with the company. The Nova infrastructure allows leading surgeons from diverse specialties to focus solely on the patient's health while the company provides turn-key hospital management in the form of a full complement of ultra-modern facilities and services.
Suresh Soni, Chairman and CEO, Nova Medical Centers, said, "This landmark investment from Goldman Sachs and NEA will accelerate the expansion of Nova's footprint across the country both organically as well as through acquisitions. This will ultimately better serve India's healthcare delivery services industry, surgeons and, most importantly, patients." "Both Goldman Sachs and NEA have extensive experience in investing in India and backing healthcare companies that have gone on to become international institutions", he added.
Ankur Sahu, Co-Head of private equity in Asia at Goldman Sachs, said, "This investment is consistent with our strategy to partner with experienced management teams and owners to build high quality businesses of scale in under-served sectors critical to India's growth." Ankur Sahu and Harsh Nanda, Executive Director at Goldman Sachs, will join the Board of Nova.
"Healthcare has always been a major focus for NEA globally and in India" said Ben Mathias, Executive Director of New Enterprise Associates (India) Pvt. Ltd. "Backing healthcare services platforms that improve quality, increase access and reduce costs is a proven strategy for us and we are excited to continue our partnership with Nova."
Goldman Sachs is active in private equity and principal investing in India. Since 2006, the firm has deployed more than US$2 billion in India. Globally, Goldman Sachs has invested over US$8 billion in the healthcare sector spread across more than 30 companies, including Quorum, Drayer Physical Therapy and Max India.
About Nova Medical Centers
Nova Medical Centers is the parent Company of Nova Specialty Hospitals and Nova IVI Fertility. It currently has nine Specialty Surgery Centers and three In-Vitro Fertilization (IVF) Clinics.
Nova Specialty Hospitals develops, acquires, owns and operates short-stay surgical centers in partnership with surgeons across India and the Middle East (in partnership with the Amethyst group). Nova provides leading surgeons from diverse specialties with comprehensive ultra-modern facilities comprising doctor's offices, operating rooms, pre and post operative rooms, diagnostics, imaging, health check-up area and a pathology laboratory. Nova undertakes surgical procedures that take between 24-72 hours from admission to discharge. A large majority of Nova's patients get discharged the same day. This improves patient experience and contains costs while increasing operating efficiency. Nova's innovative health services model offers unparalleled quality and affordability. Nova is also setting up an Orthopaedic & Sports Medicine Centre in New Delhi, in partnership with world renowned group of surgeons from New York, London and Germany.
Nova IVI Fertility is a joint venture between Nova Pulse, India and IVI, Spain which owns and operates IVF centers across India. Founded in Valencia, Spain in 1990, IVI is the world leader in reproductive medicine with 22 clinics spread across Europe and South America. Since its inception, more than 50,000 new-borns entered the world, thanks to the advanced techniques in assisted reproduction practiced throughout the IVI network.
New Enterprise Associates, Inc. (NEA) is a leading venture capital firm focused on helping entrepreneurs build transformational businesses across multiple stages, sectors and geographies. With approximately $13 billion in committed capital, NEA invests in information technology, healthcare and energy technology companies at all stages in a company's lifecycle, from seed stage through IPO. The firm's long track record includes more than 175 portfolio company IPOs and more than 290 acquisitions. In the U.S., NEA has offices in the Washington, D.C. metropolitan area; Menlo Park, California; and New York City. In addition, New Enterprise Associates (India) Pvt. Ltd. has offices in Bangalore and Mumbai, India and New Enterprise Associates (Beijing), Ltd. has offices in Beijing and Shanghai, China. For additional information, visit www.nea.com.
About Goldman Sachs
The Goldman Sachs Group, Inc. is a leading global investment banking, securities and investment management firm that provides a wide range of financial services to a substantial and diversified client base that includes corporations, financial institutions, governments and high-net-worth individuals. Founded in 1869, the firm is headquartered in New York and maintains offices in all major financial centers around the world.
Goldman Sachs has been serving Indian clients since the early 1990s and established an onshore presence in India in December 2006 following a ten-year joint venture. Today, it serves leading corporate and institutional clients through corporate finance (investment banking), equity sales and trading and fixed income securities businesses, as well as providing macro-economic and investment research and asset management services. Goldman Sachs is also active in private equity and principal investing in India, deploying more than US$2 billion in capital since 2006. In addition, the firm's 4,100-person Bangalore office provides critical support and service functions for Goldman Sachs around the world.
Nova Medical Centers
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Mobile: +91 98922 00260
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Tel: +91 22 2266 1755
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