Quadria Capital Raises $500m for Third Healthcare Fund

Oct 19, 2023 | News

Singapore- and New Delhi-based private equity firm Quadria Capital has marked the first close of its third investment vehicle.

The healthcare-focussed investor hit the close at approximately 60% of the base amount of $800m, it said in a statement on Wednesday.

Quadria has a hard cap of $1bn for this vehicle. It has raised about $480-$500m so far.

It had received commitments from both existing and new investors that include institutional investors, insurance and pension funds, development finance institutions and family offices across the US, Europe and Asia-Pacific, it said.

“The first close of our third fund serves as a clear validation of investors’ confidence in our strategy and consistent execution,” said Abrar Mir, co-founder and managing partner of Quadria Capital, in a statement.

“We are on track to reach our final target for this fund, which puts us in good stead to execute our strategy and capitalise on a rich pipeline of opportunities.”

The investor backs companies in areas such as healthcare delivery, life sciences, medical technology and associated healthcare services sub-sectors. Most recently, it invested $155m in Maxivision Eye Hospital, a private eyecare clinic chain, in July.

Quadria’s investment thesis for its latest vehicle will remain the same as before – investing across all healthcare sub-sectors.

The fund will back companies in the South and Southeast Asia regions, investing between $50m and $120m in a portfolio company.

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Asian healthcare remains a highly resilient sector with significant growth prospects, especially given rising regional demand and huge unmet needs. We have unique expertise and networks to support and accelerate the growth of portfolio companies poised to become industry leaders and drive social impact in the region,” said Amit Varma, co-founder and managing partner of Quadria Capital.

While Quadria did not name the limited partners, VCCircle reported in August that the firm was set to receive $35m from German development financial institution DEG, which also invested $30m in its second fund.

It previously tapped the Beijing-headquartered Asian Infrastructure Investment Bank (AIIB) and the Asian Development Bank (ADB), both first-time LPs to Quadria vehicles, and returning LPs such as the US International Development Finance Corporation (DFC), International Finance Corporation (IFC) and French development financier Proparco.

Proparco and AIIB are chipping in with $35m each, the ADB is contributing $25m, and the DFC has signed a $75m cheque for the third fund. IFC committed about $40m to the new fund, with a co-investment sleeve of up to $30m.

Launched in 2012, the PE firm currently has $3.4bn in assets under management.

Quadria Capital’s inaugural fund’s target corpus was $300m, although it eventually invested $450m, including co-investments. It raised $600m in 2016 for its second fund, and eventually deployed $750m including limited partner co-investments.

Source: Livemint

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