Healthcare entrepreneur GSK Velu is starting an early stage and growth capital investment fund of worth $77 million. The investment firm hasn’t been named yet.
GSK Velu raised $150 million after selling his 37% stake in diagnostic chain Metropolis to Carlyle, a global private equity fund. Carlyle has quite an experience in the healthcare sector in Asia with investments in Healthscope in Australia, Meinian Onehealth and Concord Medical in China as well as Global Health in India.
The remaining capital is kept aside for the capital expenditure for the needs of his four other companies named Trivitron, Maxivision, Apollo white and Apollo Dialysis. The four companies that Velu manages currently have cumulative revenue of $ 138 million and an implicit market value of around $600 million.
Velu cofounded Trivitron, which generates an annual revenue of around $77 million today. “About 80% of it comes from imaging, cardiology and laboratory equipment and now we are developing dental care, ophthalmology, intensive care and renal care as per an ET report.
Velu has another venture, Medfort Hospitals, a network of diabetes care and vision care hospitals. There are already 15 of these centres across five Indian cities. “I had for long dreamt of setting up diabetic clinics as my father suffered from it badly,” maintains Velu.
After Narayana Murthy, K Ganesh ,Meena Ganesh, Patni brothers and Ronnie Screwvala, 46-year-old Velu is the latest in a growing band of entrepreneurs setting up family offices to manage personal wealth across alternative investment classes, including venture capital and private equity type portfolios. A recent wealth report published by Wealth-X, an ultra high net worth intelligence provider, and European banking giant UBS pegged Velu’s net worth over $400 million.
Velu said, “We are targeting deals worth $ 4-5 million, which will be more focused on healthcare technology sectors. They have expansion plans once the family office creates an excellent track record of investments. Increasingly, India’s first generation entrepreneurs as well as traditional business scions are turning risk investors and institutionalizing their investment approach with family offices.