Why General Atlantic, which has returned $2.4 billion of the invested $2.6 billion in India and has been on an investment spree in the last three years, has an edge over its peers
In September 2013, Rizwan Kotia and Jagdish Moorjani, founders of Mumbai-based health tech services company CitiusTech, hired Citibank to find an investor for their company. After eight years of building the firm, the founders had decided to sell a minority stake. A six-monthlong process and multiple discussions later, in March 2014, global private equity fund General Atlantic (GA) emerged as the winner. It had beaten its peers like Warburg Pincus, ChrysCapital and Advent Capital, among others, to own a nearly 35 percent stake in the company for $110 million.
“There were two or three key reasons why we felt GA would be the right investors,” says Moorjani during a chat on a rainy afternoon in Mumbai. “We saw they had a terrific team and a very strong chemistry between their India and US offices— everyone was equally involved in the transaction. Also, they had a tremendous reputation of being a knowledgeable technology investor, and finally, we saw they had a good healthcare portfolio. Of course, the fact that they have a permanent fund structure without any lifetime gave them a further advantage,” he says.
Since GA invested in the company, it has helped Citius build a world-class board of directors, including the likes of Dr William Winkenwerder Junior as chairman of the company. Winkenwerder is one of the most influential names in the healthcare space in America. Apart from him, Gary Reiner, operating partner at GA LLC, is one of the directors on the board.
The fund also helped with the recruitment of senior management talent and establishment of strong financial processes and systems in the company.
This story is from the August 2, 2019 edition of Forbes India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the August 2, 2019 edition of Forbes India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
Home-Cooked Meal Is Now Greatly Valued
The pandemic has also brought with it an improved focus on hygiene, use of technology in dining, rise of cloud kitchens and resurgence in popularity of Indian ingredients
Paytm 3.0 - Reaching Near Breakeven In Two Years
As of 2020, Vijay Shekhar Sharma’s super app for financial services had run up losses in thousands of crores. Now, as digital payments gets yet another boost courtesy Covid-19, he’s hopeful of reaching near breakeven in two years
THE PANDEMIC HAS CAUSED WOMEN GREATER LABOUR PAIN
Covid-19 has shown that women are more likely to face the brunt of job losses than men, and find fewer opportunities when they want to resume. That apart, several have to deal with increased hours of unpaid work at home and even domestic abuse
LEADERSHIP WILL BE ABOUT SEEING THE BIGGER PICTURE
Leaders must not only guard their teams first during a crisis, but also deal with stakeholders with respect and dignity. And apart from pursuing business goals, they should remain committed to our planet and the environment
PHILANTHROPY SHOULD BE HUMBLE, BUT NOT MODEST
Apart from building a flexible and resilient framework for the future, philanthropists, civil society and the government must work in tandem so that every rupee is absorbed on the ground
INTEGRATED HEALTH CARE, TECH WILL DISRUPT SECTOR
While clinical research will get a boost, having a skilled workforce and public spending on health care will be challenges in the near term
DIGITALISATION WILL HELP IN VALUE CREATION
As the pandemic brings technology and innovation to the core of business and daily life, the next decade will see about 150 million digital-first families in India
Industry 4.0: Climate Revolution?
Augmenting sustainability alongside digital capabilities is an economic, competitive and global opportunity for India’s businesses, but regulations need to reflect intent
EV Dream Still Miles Away
Electric vehicles have remained a buzzword in India for years. But not much has moved on ground due to high upfront costs, range anxiety and charging infrastructure
Living Waters
A virus has caused us to scramble for oxygen but our chokehold on the environment is slowly strangling the very waters that breathe life into us. The virus is a timely reminder: We are merely consumers, not producers of life’s breath on this planet
