[Funding alert] Sterling Accuris Wellness raises Rs 250 Cr from Morgan Stanley Private Equity Asia
Ahmedabad-based Sterling Accuris Wellness Private Limited (), a pathology-focused, diagnostic lab chain, has signed an agreement to raise Rs 250 crore ($34 million) of equity funds from a fund managed by Morgan Stanley Private Equity Asia.
Sterling Accuris, which started operations in 2016, has over 1,000 employees and operates around 150 labs and collection centres across four states — Gujarat, Delhi, Rajasthan, and Madhya Pradesh. The company is aiming to achieve a revenue of around Rs 250 crore in FY22.
During the last three years, the firm claims to have significantly expanded its lab network, invested in digital technologies, and built a strong backend infrastructure to offer a wide variety of routine and specialised tests with quick turnaround times. The proceeds from this fundraise will help the company penetrate deeper into existing markets and enter new geographies.
Girish Patel, Chairman, Sterling Accuris said,
“Over the last five years, Sterling Accuris has built a strong business in the markets we operate in and the growth capital infusion from a seasoned investor like Morgan Stanley Private Equity Asia will help the team accelerate the execution of our expansion plan. We will continue with our guiding principles of building a strong customer centric brand while providing ethical and market appropriate pathology diagnostic services.”
Sterling Accuris is promoted by healthcare industry veteran Girish Patel, who is also the Chairman Emeritus of Sterling Hospitals, which operates in Gujarat. Sterling Accuris is headed by Rajiv Sharma, who has 25+ years of experience working in healthcare and consumer sectors with companies such as Sterling Hospitals, Johnson & Johnson, and Philips.
Rajiv Sharma, MD and CEO of Sterling Accuris, added,
“Sterling Accuris is one of the fastest growing technology enabled pathology lab chain in Gujarat with strong presence in Rajasthan, MP, and Delhi. The investment will also enable us to expand our lab network to new geographies such as Maharashtra and NCR. We will continue to invest to build capabilities in digital technologies to rapidly grow our B2C service delivery and strengthen our R&D capabilities to develop new and innovative tests in Molecular and Genetic testing.”
Arjun Saigal, Managing Director and Co-Head of Morgan Stanley Private Equity Asia in India, stated,
“We believe that Sterling Accuris is well placed to become a leading player in the diagnostic services industry across India given its management strength, deep network and its focus on B2C diagnostics and new testing technologies. Healthcare is a core focus for Morgan Stanley PE and this will be the third investment in the Indian healthcare space.”
Veda Corporate Advisors, a mid-market investment bank, advised the company and its promoters on the transaction.