Healthcare-focused venture capital firm HealthQuad, which has clocked two exits over the past few months, Wednesday said it has invested in an oncology-focused pharmaceutical products maker.
The homegrown VC firm, which was started by founders of private equity firm Quadria Capital – Amit Varma and Abrar Mir along with impact investment firm KOIS, has led a funding round of Rs 117 crore in Beta Drugs Ltd for a minority stake.
The NSE-listed company raised the primary capital from HealthQuad Fund II, and some other investors, including a Singapore-based investment fund, and a private wealth management firm. The firm didn’t disclose the names of other participating investors.
The drugs maker plans to utilise the funding to expand capacity, build research and development capabilities, launch new products and novel drug delivery system formulations, Rahul Batra, chairman and managing director of Beta Drugs, told VCCircle.
o3 Capital acted as exclusive advisor to Beta Drugs for the transaction. DSK Legal, Universal Legal and Desai & Diwanji were the legal advisors to this transaction.
“We believe in the potential of their new product launches, and expanding export markets, all of which position the company for growth and value creation,” said Ajay Mahipal, partner at HealthQuad Capital.
Beta Drugs specializes in oncology formulations, providing a comprehensive product portfolio spanning key oncology segments such as chemotherapy, targeted therapies, hormonal treatments, and supportive care. The company has established a presence in over 46 countries.
Beta Drugs recorded a net sales of Rs 295.7 crore for the year ended 2024, along with a net profit of Rs 36.4 crore.
HealthQuad manages more than $200 million across two funds. It is currently investing out of its second fund, which has a corpus of $162 million. The firm is also is now actively exploring monetisation opportunities from two more companies and will begin the process to exit another company next year.
VCCircle earlier reported HealthQuad is in active discussions to sell its stake in THB, which is operated by Sekhmet Technologies Pvt Ltd, and is exploring opportunities with interested parties for Neurosynaptic Communications. Overall, HealthQuad plans to fully exit the first fund within the next 18 months.
The Delhi-based VC firm invested in Qure.ai, ekincare, Red.health, Redcliffe Lifesciences, Wysa, GoApptiv, CureSkin, ImpactGuru, BeatO, and HealthifyMe from its second fund. The firm deployed its maiden fund in hospital chain Regency Health, biotech firm Strand Life Sciences, Asian Institute of Nephrology and Urology (AINU), medical supplies platform Medikabazaar, clinical data aggregation and intelligence platform THB, telemedicine services provider Neurosynaptic Communications, and healthcare staffing firm Hi-impact Consultants.
HealthQuad exited Strand Life in 2021 when Reliance Industries bought the company. It monetised its investment in AINU late last year when TPG-backed Asia Healthcare Holdings acquired the nephrology chain. The VC firm checked out of Regency in November last year by selling its stake to Norwest Venture Partners.
