Funds managed
| Fund name | Asset Class | License |
| Arth Capital Fund | PE | SEBI AIF Cat 1 |
In 2008, we began advising India 2020, Limited (“Fund I”), an India-focused investment vehicle with a corpus of approximately USD 100 million. In 2014, we began advising a second investment vehicle, India 2020 Fund II, Limited (“Fund II”), which has a corpus of approximately USD 135 million. Both funds have raised capital from a diverse set of distinguished, international investors, who seek to provide long-term, patient capital and advice to the next generation of entrepreneurs in “New India”. Currently, the funds have invested in 20 such companies, and continue to aggressively seek out similar opportunities where they can invest between USD 5 million to USD 20 million.
About the AMC
- Arth Capital Advisors Private Limited is a Private incorporated on 15 May 2007. It is classified as Non-government company and is registered at Registrar of Companies, Mumbai.
Investment Philosophy (for firm)
Arth Capital is an India based mid-market, sector focused independent private equity firm. It is focused on investing in buyout and special situations opportunities across the Consumer, Healthcare, Manufacturing, and Engineering sectors. Arth Capital’s team is highly entrepreneurial in its approach and has 75 years of cumulative experience in Indian business environment including two decades in private equity with complementary skills of investing, operating, consulting and banking
Media
Title: Arth Capital ties up with industry veteran to float health insurance firm, Source: VCcircle, Date: 24 February 2017
https://www.vccircle.com/arth-capital-ties-industry-veteran-float-health-insurance-firm/
Home-grown mid-market private equity firm Arth Capital is partnering Rajesh Relan, the former managing director of PNB MetLife Insurance, to float a health insurance company, a media report said.
Relan has filed an application seeking approval for the health insurance company with Insurance Regulatory and Development Authority (IRDA), The Economic Times reported. Relan confirmed the development but did not elaborate on the details.
The new entity, Aspire Health Insurance, will have an initial corpus of Rs 100 crore and the promoters will subsequently pump in another Rs 250 crore. Hong Kong-based Mcquarie investment fund will have a 34% stake in the new company.
Relan, who was with PNB MetLife for over eight years before being appointed as the US-based MetLife’s head of bancassurance for the Asia region, will hold 26% in Aspire Health Insurance.
Arth Capital will hold 40% in the new company. The private equity firm, which was launched by Sumit Chandwani and Anish Modi in 2012, shelved its fund-raising plans after it became difficult to raise money from limited partners.
Subsequently, VCCircle had reported, that Chandwani, along with another senior executive Rohit Razdan, had moved on to join another PE firm as consultants. However, the Arth Capital site still lists Chandwani as partner, along with Razdan. The other members are Bhusan Joshi, operating partner, and Sumit Bhartia, an associate.
Modi had been advising and investing in Indian companies in special situations through Tarang Advisory Pvt Ltd, and does not figure on the website.
Emails sent to Arth Capital, Rajesh Relan and Mcquarie did not elicit any response till the time of filing this article.
Private equity and venture capital investments in the health insurance sector has, of late, been muted.
Star Health and Allied Insurance Co. Ltd. had received its first funding from Sequoia Capital in 2007.
Last year, ICICI Venture and Apis Partners pumped in Rs 315 crore in Star Health and Allied Insurance. However, the Indian insurance industry, across segments, had been growing rapidly for the past few years, and has witnessed the participation of more private firms. Premium collection in the health segment grew 21.30% year-on-year, from Rs 22,636 crore to Rs 27,457 crore in 2015-16, according to the IRDA. Besides, the market share of the health segment has also increased to 28.49% in 2015-16 from 26.73% in the previous fiscal year.
Major stand-alone health insurers in the country are Apollo Munich, Cigna TtK and Max Bupa – all joint ventures between domestic and foreign companies.
Title: Arth Capital, Relan seek nod for health insurance company, Source: Economic times, Date: 24 February 2017
MUMBAI: After Birla, another company has filed an application to float a health insurance company. Rajesh Relan, former MD of PNB NSE 0% MetLife, has filed an application with the regulator to start a health insurance company along with private equity firm Arth Capital. The company, to be called Aspire Health Insurance, will sell products through multi-channel distribution with focus on online.
The company will have an initial capital of Rs 100 crore. The promoters will put in a total of Rs 250 crore in the company. Relan will hold 26% of the company. Sumit Chandwan’s firm Arth Capital will hold 40%. Relan and Arth Capital will jointly hold 66% in a SPV and will be the largest shareholders and hence the promoters.
The balance 34% will be held by a Hong Kong-based Mcquarie investment fund. The future capital has been tied up and the company is expected to break even in the fourth year. Relan was responsible for PNB MetLife JV.
Relan refused to provide details of the deal or on the investors due to confidentiality reasons. Relan confirmed filing of the application with the regulator.
“We are committed to building a formidable health-tech insurance company that will disrupt the current market through technology and will emerge as a leader in the standalone health insurance space,“ Relan said.
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