Motilal Oswal Alternates, a subsidiary of Motilal Oswal Finance Services Limited, has invested $72 million in Sensa Core Medical Instrumentation, taking a significant minority stake in the Indian maker of in-vitro diagnostic devices.
In a statement, Motilal Oswal Alternates said the investment will be used to accelerate Sensa Core’s product development and support global expansion. The firms did not specify the valuation implied by the transaction.
“With this investment, Motilal Oswal Alternates continues to back high-quality companies in the life sciences space, especially R&D-led medical device innovators that are set to lead different categories worldwide,” said Rohit Mantri, managing director and co-head of private equity at Motilal Oswal Alternates.
Founded in Hyderabad in 2006, Sensa Core designs, develops, and manufactures diagnostic equipment. Its products include electrolyte analysers, glucometers, and haemoglobin meters. It has also moved into arterial blood gas analysers.
The company said its electrolyte analysers are used in more than 40,000 hospitals and diagnostic labs in India. It exports to over 78 countries.
Sensa Core operates a manufacturing facility in Hyderabad’s Export Promotion Industrial Park in Pashamylaram. It plans to commission a new plant at the Medical Device Park in Sultanpur, Hyderabad, to add capacity and support new products.
Sensa Core chairman, founder, and managing director Dr Ravi Kumar Meruva said the company is entering a new phase of product development and will ramp up factory automation. It will also expand its point-of-care portfolio.
“With a strong focus on expanding access to healthcare, we believe affordability can be achieved through local manufacturing and large-scale production,” Murava said.
The investment comes about four months after Motilal Oswal Alternates raised about $800 million in the first close of its fifth private equity vehicle, India Business Excellence Fund V, surpassing its initial target of $750 million.
Since its inception in 2007, Motilal Oswal Alternates has invested in 50 companies and exited 23, returning around $1 billion in liquidity. Recent exits include IKF Finance, Happy Forgings, and Dairy Classic.
The firm earlier said 10 more investments, valued at $400 million, are expected to generate liquidity in the next 12-24 months.
