Asia Healthcare in talks about buying Nova IVI fertility

  • Published | 27 September 2018
Asia Healthcare Holdings is all set to acquire Nova IVI fertility which is India’s one of the largest fertility clinics. This deal is expected to promulgate the growing healthcare industry in India.
India: Asia Healthcare Holdings will be buying stakes from the private equity investors who already exist and from promoters which includes Mahesh Reddy. Goldman Sachs Group Inc along with New Enterprise Associates holds about 51% of share in Nova IVI. New York based GTI Group holds about 15% while the promoters hold the remainder. Lincoln International, the investment bank is managing the sale. This acquisition will benefit the Indian healthcare industry and also have a positive effect on the global healthcare market. In 2012 Nova IVI Fertility was formed when Nova Pulse IVF, which is a division of the Nova Medical Centres along with IVI which is a Spanish chain of IVF clinics, formed a technical partnership. They now operate about 20 fertility centres in 15 cities of India. The Nova Medical Centers was found in the year 2009 by the GTI Group and Reddy. Asia Healthcare Holdings generally invests in single specialty healthcare businesses. Around USD 50 million was invested by Sheares Healthcare, which is a part owned by Temasek to acquire a minority stake in Asia Healthcare Holdings. AHH or Asia Healthcare Holdings is directed by Vishal Bali, senior healthcare advisor of TGP Growth. He was the former CEO at Fortis Healthcare. Asia Healthcare Holdings currently consists of Bengaluru based Rhea Healthcare, that operates a channel of hospitals for children and women under the “Motherhood” brand, and Cancer Treatment Services International, which is a channel of single specialty hospitals for cancer across South Asia and is also known as American Oncology Institute. After their partnership with Asia Healthcare Holdings, CTSI has grown to seven facilities from a single one, while Motherhood channel has grown from three to eleven hospitals. According to BlueWeave Consulting, around 10-15% of the married couples and about 27.5 million couples are actively seeking children but unfortunately suffer from infertility. According to an advisory firm’s report, the major risk aspects that are leading to increasing prevalence of infertility are the increasing age for marriage, growing number of women working and the rising consumption of alcohol and tobacco. Nova IVI Fertility offers treatments of assisted reproductive therapy like intrauterine insemination, andrology services and in vitro fertilisation (IVF). The main providers of IVF services in India comprise of Indira IVF, Bloom Fertility Centre, Southend Fertility & IVF, Milann which is Bengaluru based, Nova IVI Fertility, Morpheus IVF, Ridge IVF, Bourn Hall Clinic, Akansha IVF and Shivani Fertility and Mother Care which is based in Jaipur. Thus, the acquisition by Asia Healthcare Holdings will help Nova IVI grow and expand over the years. This will augment the growth of the healthcare industry in India and the global healthcare market as well.