Health Care Attracts PE Investors

Back in 2007, Dr. Ajay Kumar along with Rajat Goel ran an eye care center called ‘Eye Q’ in the small town of Rewari in Haryana with the aim to provide eye care to the people at affordable prices. They admit that they had a hard time starting off with the high-growth and capital-intensive business. Since banks refused to lend them money without collateral, the duo began to look up to Private Equity funds as a potential source for raising capital for the noble cause. Their decision would bear positive results in just three years. In 2010, Eye Q was able to raise a total of Rs.10 crore. They raised an additional capital in two more rounds of PE funding . They raised Rs. 45 crore in 2011 followed by an inflow of Rs. 25 crore worth of private equity funds that they were able to accumulate in the beginning 2013. Raising capital through PE Funds in India has enabled the eye care center to extend the socially-driven initiative to other parts of the country. ...