Somerset Indus Capital Partners, a Mumbai-based private equity firm, is approaching the final close of its third fund, targeting around $250 million as global investor interest continues to rise.
The fund is focused on expanding healthcare access in underserved tier 2 and 3 cities in India. Commitments have come from a diverse group of backers, including development finance institutions from Europe and the U.S., leading European firms, a top Indian financial bank, and impact-focused investors from Southeast Asia, the firm said in a statement on September 9.
Somerset’s “capital for change” philosophy, which emphasizes scalable and affordable healthcare models, has resonated strongly with both existing and new limited partners.
“Fund III is not just the next fund; it is the evolution of our journey,” said Avinash Kenkare, Partner at Somerset. His colleague, Mayur Sirdesai, added that the fund is “well positioned to go beyond” its initial target, citing India’s healthcare inflection point and Somerset’s role in driving this transformation.
The firm expects to achieve a final close by October, with a major existing investor likely to join, further strengthening its LP base.
Somerset’s earlier funds have delivered solid results, with Fund I achieving a 4x distributed to paid-in (DPI) and Fund II nearing exits. Notable investments include Ujala Cygnus Hospitals and Krsnaa Diagnostics, the latter delivering a 12x return and emerging as India’s largest affordable diagnostics provider.
With $500 million in assets across three funds and 15 portfolio companies, Somerset continues to partner with first-generation entrepreneurs in healthcare delivery, diagnostics, pharmaceuticals, and medical devices.