Appasamy Associates, the largest domestic manufacturer of ophthalmic devices and lenses, Wednesday said the global private equity major Warburg Pincus has picked up stake in the firm.
In a statement, which did not disclose either the value or the percentage of equity being acquired, the firm claimed that this is the largest investment in the domestic healthcare sector by the PE fund.
A source in the know of the deal details told The New Indian Express that the Chennai-based Appasamy, which is the largest domestic manufacturer of ophthalmic equipment and intraocular lenses, has received close to Rs 2,000 crore for the majority stake.
Appasamy is present across the entire value chain of ophthalmic devices–diagnostic, surgical equipment, and intraocular lenses. Its vertical integration into manufacturing and its strong R&D capabilities allow it to offer products that meet global standards at comparatively affordable prices.
Appasamy will continue to be led by the recently appointed chief executive Senthil Kumar with the support of the promoter family and in partnership with Warburg.
Arvind Kasthuri, from the promoter family, said, Appasamy, from being just an idea of PSN Appasamy, the founder, has over the past forty years become the market leader in the ophthalmic space.
Narendra Ostawal, the head of private equity at Warburg Pincus India, said, Warburg recognizes the substantial potential within the domestic ophthalmic space and is excited to collaborate for Appasamy’s next phase of growth.
Warburg, which has been here since the past 25 years, has investments in the domestic healthcare sector include Meril Life Sciences, MedPlus, Laurus Labs, and Metropolis Healthcare.