TPG Growth to sell CTSI to Varian for $283 million

By: |
Published: May 22, 2019 8:54:02 AM

TPG said in a release that when CTSI was first acquired by TPG Growth, it operated one facility in Hyderabad.

TPG Growth, CTSI, Varian, Asia Healthcare Holdings, Nova FertilityCTSI is part of Asia Healthcare Holdings (AHH), a health care operating platform founded by TPG Growth.

TPG announced on Tuesday that its middle market and growth equity platform, TPG Growth, is set to sell Cancer Treatment Services International (CTSI) to New York Stock Exchange (NYSE)-listed Varian Medical Systems for $283 million (over Rs 1,970 crore). CTSI is part of Asia Healthcare Holdings (AHH), a health care operating platform founded by TPG Growth. The transaction is expected to close approximately in two weeks. The sale marks the first exit for AHH, which had recently acquired Nova Fertility and its network of 20 in vitro fertilisation centres.
CTSI owns and operates a network of cancer treatment facilities across India and South Asia, including brands such as the American Oncology Institute, US-based CTSI Oncology Solutions and AmPath. CTSI employs more than 1,500 people across its operations in India and the US.

TPG said in a release that when CTSI was first acquired by TPG Growth, it operated one facility in Hyderabad. In three years, with AHH’s support, the company has grown to a network of 11 cancer hospitals with a pipeline of six more hospitals under execution, it pointed out.

Also read: Reliance Jio likely to bring new calling technology for users: What you should know

“The success of CTSI builds on the track record of TPG’s health care investing franchise around the world, which has invested $14 billion of equity in the sector. More than 20% and approximately $3 billion of equity has been invested outside the US, across leading health care delivery networks including Parkway Holdings (Singapore), Healthscope (Australia), Manipal Health (India), Asiri Health (Sri Lanka) and United Family Healthcare (China),” TPG indicated.
Matthew Hobart, partner at TPG Growth said the platform invested in CTSI in 2016 with the belief that the company was in a strong position to address a substantial and growing need for quality cancer care in India.

Vishal Bali, chief executive of Asia Healthcare Holdings, said the genesis of AHH was to build single-speciality health care delivery businesses. “Majority positions in these early stage entities give our team the unique opportunity to mould the future of these companies by giving them the right management teams, capitalisation, and profitable growth trajectory. CTSI validates this unique approach to Indian health care,” he said. TPG Growth has about $12.8 billion of assets under management and targets investments in a broad range of industries and geographies.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition
FinancialExpress_1x1_Imp_Desktop