Novo Holdings Targets India's Specialty Hospitals

Novo Holdings, the controlling shareholder of obesity drugmaker Novo Nordisk, is stepping up its focus on India’s fast-growing healthcare sector, eyeing investments in single-specialty hospitals and contract drug manufacturing.

The move comes as Indian patients increasingly prefer specialized medical facilities; a trend analysts say will shape the country’s next healthcare growth wave.

With €142 billion ($165.6 billion) in assets under management by the end of 2024, Novo Holdings is already in talks with several Indian firms, said Amit Kakar, managing partner and head of Asia, in a recent interview.

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The investment arm of the Novo Nordisk Foundation, which holds a 77% voting stake in Novo Nordisk — maker of Wegovy and Ozempic — has set up a dedicated team in Mumbai to deepen its footprint.

"When we first started investing (in India), our average ticket size was $20 million-$30 million. Now, it's between $50 million and $125 million. So clearly, we're doing bigger deals," Kakar said, highlighting a sharp rise in deal size. Novo’s biggest investment in Asia so far is a minority stake in Manipal Hospitals, completed in 2024.

The company is now betting on single-specialty hospitals, focusing on fields like oncology, mother and child health, and nephrology. The segment is forecast to grow from $16.2 billion in 2024 to $40.14 billion by 2032, driven by rising chronic diseases and health awareness. Novo is also exploring biologic drug manufacturing, senior care, and step-down recovery facilities — all part of its broader strategy to capture India’s evolving healthcare demand.