Sweden’s EQT exceeds investment targets in India, doubles down on healthcare

By Dhwani Pandya

MUMBAI (Reuters) – Sweden’s EQT has invested more than its targeted $5 billion in India over the last few years, the head of its Asian business said on Thursday, as the private equity firm focuses on buyouts and investments in the country where it is sees strong deal activity.

EQT, with about $295 billion of assets under management globally, has invested around $6 billion in Asia’s third-largest economy over the last 18 months, its Asia CEO and chair Jean Eric Salata told reporters at a media event.

We believe India is still an extremely attractive investment destination for international investors like us,” Salata said.

He also hailed India’s “attractive” equity markets, even though they have cooled off from record highs.

“Whether (the) economy slows in India next year is not our concern,” he said, brushing aside slowing growth in the world’s fifth-largest economy.

EQT has raised $2.4 billion from exits alone in the past two years, including through the listing of healthcare services firm Sagility India.

EQT will target investments in the tech and healthcare spaces as well as realty and infrastructure sectors, Salata said.

After the 2022 combination of Sweden-based EQT and Baring Private Equity Asia in a $6.5 billion deal, EQT ramped up investments in India’s financial services companies that included a buyout of HDFC Credila and stakes in healthcare firms Indira IVF and AIG Hospitals.

Earlier this year, the BPEA EQT Mid-Market Growth (MMG) Partnership fund raised $1.6 billion and said the fund would focus on mid-market control buyouts in technology, services, and healthcare sectors in India, southeast Asia, Japan, and Australia.

In September, EQT’s MMG fund acquired Indostar Home Finance, an Indian affordable housing finance company, for $210 million and committed $59 million to support further growth.

(Reporting by Dhwani Pandya in Mumbai and Nandan Mandayam in Bengaluru. Editing by Jane Merriman)