Singapore-headquartered healthcare-focused private equity firm Quadria Capital has raised $48.2 million for a parallel fund that will invest alongside Quadria Capital Fund II, according to the firm’s latest US Securities and Exchange Commission filing.
The filing showed that Quadria Capital Fund II PAR, launched in March 2019, received commitments from four investors in the latest round. Fund II PAR previously raised $48.2 million in October.
Sources told DealStreetAsia that the total fundraise for the parallel fund and the main fund currently stands close to $500 million.
Quadra Capital Fund II, which has a target fund size of $400 million with a hard cap of $500 million, held its first close at $194 million in March and received a $65-million three-year revolving facility from global financial institution ING.
The second vehicle also received $25 million in commitment from the International Finance Corporation, a member of the World Bank Group.
Founded in 2010, the private equity fund invests in some of the fastest-growing markets that are characterised by a large demand-supply gap for affordable healthcare services and products. In India, for instance, which is one of the important markets for Quadria, the doctor-patient ratio stands at a dismal 1:1,700.
The firm currently manages over $1.8 billion in capital and has made 18 investments across seven countries. It claims to have the backing of over 20 leading institutional investors.
“We are focused on investing in the fast-growing healthcare industry in Asia and our approach is sector-focused and fundamentals-driven. Quadria Capital makes equity investments in companies in which our industry knowledge, network of relationships, operating experience and board participation will add value,” the firm said on its website.
Among its portfolio companies is FV Hospital, a Vietnam-headquartered tertiary care provider. Quadria invested in the hospital in July 2017 through Quadria Capital Fund, with participation from Neuberger Berman Private Equity and German Investment & Development Corporation.
Quadria joins a number of risk capital investors that are increasingly looking to gobble up healthcare businesses that ride on the domestic consumption wave.
In 2018, healthcare deal value in the region increased to $15.8 billion, a whopping 119 per cent jump from $7.2 billion in 2017, according to Bain & Co.’s eighth Global Healthcare Private Equity and Corporate M&A Report. In terms of volume, the number of deals stood at 88 in 2018, while it was 61 a year ago.