Creador invests $42 million in Paras Healthcare

Malaysian private equity firm Creador has acquired a minority stake in Paras Healthcare through affiliate Commelina for Rs 275 crore ($42 million). This is Creador's 24th investment globally (9th in India).

Anand Narayan, managing director, Creador Advisors India LLP, said "Paras Healthcare, hospital infrastructure and operations are all developed to provide the best healthcare services at affordable costs". We are certain that this association shall be fundamental in the evolving landscape of Indian healthcare."

Narayan also said that the company's presence in Bihar elucidates their aim and execution capabilities of providing quality super speciality medical care in rural India.

Creador is a private equity firm focused on long-term investment businesses in South Asia and Southeast Asia.

Paras operates a chain of five hospitals, total of 730 beds, offering secondary and tertiary care services. Apart from establishing the first multi-specialty hospital in Gurgaon, Darbhanga and Patna, it also has two mother and child hospitals under the Paras Bliss brand in New Delhi and Panchkula, respectively. Avendus Capital was the exclusive financial advisor to Paras.

The underserved Indian healthcare market

The Indian healthcare market is highly underserved with nine beds per 10,000 population versus a global average of 30 beds. The overall healthcare expenditure of $160 billion has increased at 17 per cent CAGR for the last 10 years and private players have become a larger part of the overall pie. North India, which has 40 per cent of India’s population, has the weakest hospital infrastructure and lowest doctor availability amongst all regions in India.