KKR to acquire medical device company Healthium

New Delhi: US private equity major KKR will acquire Bengaluru-based medical device player Healthium Medtech, formerly Sutures India, from PE firm Apax Partners in a deal estimated at Rs 7,000 crore. KKR plans to use a special purpose vehicle to buy a controlling stake in Healthium, it said in a joint statement with Healthium and Apax on Monday.
The other major bidder in the race was PE biggie ChrysCapital, which had joined hands with pharma firm Mankind, industry sources said.Founded in India in 1992, Healthium is a medical devices company that manufactures and sells a broad range of surgical products globally. After its acquisition by Apax Funds in 2018, Healthium expanded its presence from 50 countries to over 90. It also strengthened its portfolio of wound closure devices and consumables and invested in new franchises such as arthroscopy and advanced wound care through in-house R&D and M&As, the statement adds.

Akshay Tanna, partner and head of India private equity at KKR, said: "We look forward to leveraging our global network and healthcare expertise to accelerate its growth in this fast-growing sector and further scale its global business through organic and inorganic growth strategies."
KKR will route its investment from its Asian Fund IV. The acquisition marks KKR's latest investment in the healthcare sector in India after JB Chem, a branded formulations pharma company; hospital chain operator Max Healthcare and Gland Pharma, a generic injectable maker.
Healthium CEO Anish Bafna said: "Over the last five years, with the support of Apax, Healthium has tremendously accelerated its growth. Our products are now used in one-in-five surgeries globally. As we look to further strengthen and expand our market position, we are delighted to welcome an investor of KKR's calibre."
The transaction is subject to receipt of certain regulatory approvals and is expected to close in the third quarter of 2024. Financial details were not disclosed.