In order to purchase the entire equity of Lotus Surgicals Private Limited (Lotus) from India Medical Consumables Holdings Limited (a Samara Capital entity) and other shareholders, Tube Investments of India Limited (TII) and Premji Invest (through PI Opportunities Fund I Scheme II) signed a share purchase agreement today.
TII will purchase 67%, while Premji Invest will acquire the remaining 33%, provided that certain prerequisites are met.
According to a TII announcement, Lotus is now working on items for wound closure.
For the purpose of buying equity shares from the current Lotus shareholders, TII would spend up to Rs. 233 crores and Premji Invest up to Rs. 115 crores.
The acquisition is the first stage in TII and PI’s cooperation to launch a Medtech Platform.
With the goal of becoming a worldwide platform, the platform seeks to expand via both organic growth and inorganic acquisitions. It is motivated by the vision of “Atmanirbhar Bharat.”
to create, produce, and market cutting-edge, top-tier medical goods at reasonable costs.
M.A.M. Arunachalam, commonly known as Arun Murugappan, the executive chairman of TII, stated that “the acquisition of Lotus symbolizes our foray into the med-tech business”.
“We believe that the Indian medical industry is expected to be one of the fastest growing sectors driven by both demand and supply-side factors. We are delighted to join hands with Premji Invest. Our deep expertise in establishing and managing large-scale manufacturing, coupled with Premji Invest’s strong domain knowledge & investing experience will enable Lotus to tap the immense potential in the med-tech business”, he said.
Premji Invest Chief Investment Officer T K Kurien said, “TII has an outstanding track record of incubating and scaling businesses across diverse sectors and creating stakeholder value through
manufacturing and execution excellence”.
“Premji Invest is pleased to deepen its partnership with TII through this med-tech platform. We believe the medical consumables market is attractive and there is a unique opportunity to create a global platform that manufactures and distributes world-class medical products by leveraging cutting-edge technologies”, he said.
