MC EXCLUSIVE Everstone’s Translumina and Everlife close to merger, valuation likely at Rs 6,000 crore

Translumina is one of the top three stent manufacturers in India, while Everlife Holdings is a strategic healthcare platform operating in Asia.

Singapore-based private equity fund Everstone Capital is on the verge of concluding the merger process of its two healthcare portfolios - Translumina Therapeutics and Everlife Holdings - in the coming days, people familiar with the development told Moneycontrol.

The merged entity is expected to proceed with a planned IPO in September or October this year, the sources added.

"The deal will likely be closed with a combined valuation of around Rs 6,000 crore ($720 million)," said one source. Prior to the merger, Everstone had held a 60 percent stake in Translumina Therapeutics and a 70 percent stake in Everlife.

Translumina, incorporated in 2010 in India, is a manufacturer of interventional cardiovascular devices, and is particularly known for its drug-eluting stents (DES). The company’s stent technologies have been developed through a technological collaboration with the German Heart Centre, which has led to the development of ground-breaking medical devices, including the world's longest-studied DES, with over 10 years of safety and efficacy data.

Translumina is one of the top three stent manufacturers in India, along with Sahajanand Medical Technologies (SMT) and Meril Life Sciences. The company holds 18-20 percent of the Indian cardiac stent market.

Everstone had acquired the controlling stake in Translumina Therapeutics in 2019.

Everlife Holdings, on the other hand, is a strategic healthcare platform operating in Asia. It employs a "buy-and-build" approach, acquiring and investing in manufacturers and distributors across crucial segments such as in-vitro diagnostics, medical diagnostics, critical care equipment, implants, and consumables. Its major clients include Abbott, Edan, Bio-Rad, Nova Biomedical, Fuji Film, Siemens, Mindray, Thermo Fisher Scientific and Chrom Systems.

Since 2022, Everstone had been in discussions with various PE funds to sell Everlife Holdings for over $500 million but the transaction did not materialise, say media reports.

Industry experts believe that bringing these two healthcare firms together could forge a major player in the Indian medical devices space. This segment was valued at over $15 billion in 2023 and is expected to climb to nearly $21 billion by 2029. Considering India's low contribution to the global medical devices market and its substantial dependence on imported equipment, the consolidation offers a prime opportunity for industry players to tap into unmet domestic demand, said industry experts.