Homegrown private equity firm ChrysCapital has acquired a majority stake in GeBBS Healthcare Solutions for an undisclosed amount.
US-based GeBBS, founded in 2005, provides business process outsourcing (BPO) services to hospitals and healthcare organisations.
GeBBS will continue to be led by president and chief executive Nitin Thakor and managing director Milind Godbole, according to a company statement.
Although the release did not disclose the deal size, a person close to the development pegged it at Rs 1,000 crore ($140 million) for buying a majority stake from the promoter, Vijay Singh.
The person added that the deal was closed at 10 times the Ebitda, which was $14 million for a business revenue of $63 million. Ebitda is earnings before interest, tax, depreciation and amortisation.
The company, on a high-growth trajectory and based in Englewood Cliffs, has front-end operations in the US and operates four back-end centres in and around Mumbai, the person added.
Houlihan Lokey, Mundkur Law Partners and Clark Hill acted as advisers to GeBBS. Shardul Amarchand Mangaldas & Co. and Wilson Sonsini Goodrich & Rosati acted as advisers to ChrysCapital.
ChrysCapital
Founded in 1999, ChrysCapital manages assets worth $3 billion across seven funds. It largely provides growth capital to companies in India across sectors such as consumer goods, business service, infrastructure, manufacturing, healthcare, pharmaceuticals, infotech and financial services.
The private equity firm has made about 80 investments and 65 exits in India across sectors including business services, financial services and pharmaceuticals.
In April, it led a Rs 350 crore ($55 million) Series C funding round in Bengaluru-based school finance company Thirumeni Finance Pvt. Ltd, which operates under the Varthana brand.
In the financial services segment, it has backed Au Small Finance Bank, Hero FinCorp, Magma Fincorp Ltd, National Stock Exchange and South India Bank.
Currently, it is investing out of its seventh fund that has a corpus of $600 million. The firm has deployed more than 60% of its corpus and is now preparing to launch its eighth fund that will aim to scoop up $800 million.
ChrysCapital has the distinction of raising the biggest-ever India-focused sector-agnostic fund. The firm had received commitments worth $1.25 billion for its fifth fund in 2007. It later cut the size of the fund as economic slowdown restricted investment opportunities.