Tata Capital Leads $10 Million Funding in Mumbai-Based Apex Kidney Care

With this newly infused capital, AKC aims to expand its dialysis network to 300 centres across India in the next 18- 24 months. Out of these, about 50-60 dialysis centres will operate as standalone centres.

Tata Capital, the financial arm of the Tata Group has invested $10 million in Mumbai-based dialysis chain startup Apex Kidney Care (AKC) for an undisclosed equity stake.

The investment was made through Tata Capital Healthcare Fund II (TCHF II), which is a healthcare-focussed private equity fund of Tata Capital.

Reportedly, about 90% of the funding will be allocated for the expansion of AKC, while the remaining 10% will serve as an exit opportunity for certain angel investors.

With this newly infused capital, AKC aims to expand its dialysis network to 300 centres across India in the next 18- 24 months. Out of these, about 50-60 dialysis centres will operate as standalone centres. The expansion will primarily begin in metro and Tier-I cities that offer better margin profiles and profitability.

Founded in 2007, the Mumbai-based dialysis chain aims to transform kidney care in India by deploying world-class hemodialysis practices. It offers comprehensive, high-quality, and affordable kidney care. Currently, it has more than 180 dialysis centres across eight states in the country.

Out of its 180 plus dialysis centres, around 120 are operational through public public-private partnership (PPP) model in Madhya Pradesh, Maharashtra, Telangana, Goa and Delhi. While about 61 centres run within the premises of hospitals and six are standalone centres.

According to a report by Tata Healthcare Fund assessment, around 21 million dialysis sessions are conducted on an annual basis in India, and this is estimated to be an abysmal 11% of the overall annual need of the country.

Established in 2007, Tata Capitals is a subsidiary of Tata Sons. TCHF is a growth-oriented private equity fund focussed on the healthcare and life sciences sector in India.

The fund is sponsored by Tata Capital Ltd. Its growth-oriented private equity fund is TCHF which invests in the healthcare and life sciences sector in India. TCHF has raised nearly $200 million across two funds - TCHF I (2012) and TCHF II (2022) to support and accelerate the growth of business in the healthcare and life sciences sector.

In another similar development, a Bengaluru-based Cytecare launched an institute for dialysis and renal diseases in partnership with NGO Humanist. This initiative sought to improve patients' quality of life, and offer life-sustaining dialysis further managing renal failure-related comorbidities, including critical care assistance.