Sahajanand Medical Technologies (SMT) the leading manufacturer of cardiac stents in India has raised equity to the tune of Rs.230 crore in a funding round led by Morgan Stanley Private Equity Asia. Existing Investor Samara Capital also participated in the round.
The company is recognised for its Make in India initiative by being one of the first companies in Asia to indigenously develop & manufacture coronary stents. It was founded b Dhirajlal Kotadia in 2001, and is the largest developer, manufacturer and market leader of minimally invasive coronary stents (drug-eluting & bare metal), renal stents, PTCA balloon catheters and other cardio vascular accessories in India.
Beyond India, it also exports its portfolio of life saving devices to UK, Spain, Italy, Netherlands & over 60 other countries.
The WHO-GMP certified manufacturing plant in Gujarat and two world-class R&D centers, including one in Ireland, SMT is the first company in the world to receive the CE certification for a drug eluting stent with biodegradable polymer. Further, the company has published several clinical studies in leading cardiac journals and has multiple process/product patents. The company keeps a highly customer-centric approach while distributing its innovative products & technologies through a well-entrenched direct sales network.
As part of the current transaction, a fund managed by Morgan Stanley Private Equity Asia has invested INR 160 crore in primary capital into the company for a minority stake. SMT’s existing institutional investor, Samara Capital also participated in the round. KPMG India served as an exclusive financial advisor to SMT for the transaction.
The proceeds from the transaction will be used to finance SMT’s strong organic growth, achieve synergistic acquisitions and build an aggressive R&D program for a further expansion of its portfolio of innovative lifesaving medical devices.
According to Bhargav Kotadia, Managing Director, SMT, the proceeds from this investment round will bolster further expansion in overseas markets and assist in building our pipeline of next generation cardiovascular products. As proud early champions of ‘Make in India’, we look forward to making India a global powerhouse for critical medical devices in the near future.
Arjun Saigal, Co-head of Morgan Stanley Private Equity Asia in India, said, “Lifesciences & Healthcare is one of our core focus sectors in India. The increasing burden of lifestyle diseases combined with the push towards local manufacturing backed by the best in class R&D has led to a significant rise in the use of domestic medical implants. SMT’s high end technology and focus on R&D will make it a key beneficiary of the rapid expansion in treatment volumes and medical infrastructure. We are excited to be partnering with SMT in its journey forward.”
“SMT is a professionally run, technology driven company. Our investment in late 2016 was a result of the high potential we saw in the sector and capabilities within SMT to emerge as the market leader. The new up-round and fund raise validates strengthens the balance sheet of the company.” adds Abhishek Kabra, Director, Samara Capital.