• Strategic acquisition to accelerate Healthium Medtech’s growth and product portfolio.
  • Complementary business models and strategic product fit for “AbGel” brand to provide strong synergies for Healthium Medtech.
  • SGK Labs is largest manufacturer of ‘surgical haemostatic sponge’ with over 50% market share.
  • Wodehouse Capital Advisors was the sole advisor to SGK Labs for the transaction.
  • Khaitan & Co acted as the legal counsel for the sellers.
Mumbai, August 03, 2021: Healthium Medtech, a global player in medical devices, today announced the successful acquisition of the AbGel gelatin sponge business from Mumbai-based SGK Labs, adding to its product portfolio focused on surgical and post-surgical care.

Wodehouse Capital was the sole financial advisor to SGK Labs in this transaction.

AbGel is a recognized brand in the gelatin sponge category and has been used in India since 1980. It is a market leader in this category and used in various surgical applications. Headquartered in Mumbai with a state-of-the-art manufacturing facility, SGK Labs is renowned for its quality and has been a preferred partner for leading hospitals and medical professionals across India. Healthium aims to further expand the market access of this brand using its wide network of hospitals across India.

Healthium, with a lineage of over 35 years is completely owned by British private equity firm Apax Partners LLP, that has assets in excess of US$ 50 billion. Healthium’s product portfolio includes surgical sutures, needles, a patented arthroscopy portfolio, a urology portfolio, hernia meshes, haemostats, gloves, ligation clips, surgical staplers and other wound closure devices. It holds or has applied for 60 patents in India and U.S.

Viral Parekh, Managing Director - SGK Labs says: “AbGel has been the leading and most trusted brand of haemostatic sponges. I am delighted that our product and brand provide immense synergies and is a natural fit for Healthium’s vast product portfolio. Under Healthium’s management, I am confident that AbGel shall have a wider market reach in the ever-growing medical devices segment.”

Speaking on the acquisition, Anish Bafna, CEO and MD, Healthium Medtech, said, “Hemostasis during surgical procedures is an area of concern for surgeons. We are excited to add a brand like AbGel that has become synonymous with the gelatin sponge category and has been contributing to safer surgeries for over 4 decades. This acquisition strengthens our presence in the category and our commitment to drive value for our customers. We look forward to combining Healthium’s R&D and manufacturing capabilities with the talent and expertise brought by AbGel’s team as we expand access to precision medtech for patients, globally.”

Manmohan Tiwana, Managing Director & CEO - Wodehouse Capital says "AbGel is strategic fit for Healthium with a complementary business model. The market for medical devices and technology, though rapidly evolving, is still highly fragmented with limited indigenous manufacturing, where the imports constitute majority of the estimated US$2.75 billion market. With such acquisitions, established Indian companies can take indigenous brands to the rest of world, thereby unleashing its full potential and creating mega brands globally."

About Wodehouse:

Wodehouse Capital Advisors, a World M&A Alliance company, is a leading mid-market focused Investment Bank. Wodehouse partners with Indian entrepreneurs to provide solutions that enable them to meet their strategic objectives. As a part of the World M&A Alliance (www.world-ma.com), Wodehouse has international presence across USA, UK, Italy, Spain, France, Germany, Turkey, Netherlands, Poland, Brazil, Japan, Australia and caters to clients globally. Last month, Wodehouse announced that it had represented Unitop Chemicals in its acquisition by Rossari Biotech.

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