Marengo Asia Hospitals raises $40 million from LeapFrog Investments

Marengo Asia Hospitals has raised $40 million (around INR 400 crore) in growth capital from LeapFrog Investments. The investment will support Marengo’s expansion and deepen access to specialist healthcare across India’s Tier I and Tier II cities.

Established in 2021, Marengo Asia Hospitals has grown through a buy-and-build strategy, acquiring regional hospitals and strengthening their clinical and operating capabilities. The company operates five hospitals in India and has a strategic partnership in Saudi Arabia, with approximately 2,000 beds and more than 900,000 patients served annually.

Marengo has a presence across Gujarat and a growing footprint in Delhi National Capital Region (NCR), with capabilities across cardiology, oncology, neurology, gastroenterology, orthopaedics, and renal care and transplants.

All Marengo hospitals in India are accredited by India’s National Accreditation Board for Hospitals & Healthcare Providers (NABH), while its flagship Ahmedabad hospital is also accredited by Joint Commission International (JCI).

The funds raised will support Marengo as it deepens its presence in existing markets, expands into adjacent geographies and continues investing in medical technology, Centres of Excellence and patient experience.

Non-communicable diseases (NCDs), including cardiovascular disease, cancer and diabetes, account for 66 per cent of deaths nationally, driving demand for specialist care. India has 1.5 hospital beds per 1,000 people, around 55 per cent below the global average, with the gap particularly acute in Tier II cities and beyond.

Patients outside major metro areas have historically had less access to tertiary care, requiring many patients with complex conditions to travel to larger cities for treatment, adding cost, delay and strain for families managing serious illness.

Marengo Asia Hospitals is addressing this gap by expanding access to specialised healthcare across Tier I and Tier II cities of West and North India. The company acquires standalone or regional hospitals and strengthens them through investment in medical technology, specialist recruitment, clinical pathways, governance and Centres of Excellence.

Marengo’s specialty mix, including cardiac sciences and oncology, addresses the leading NCD-related causes of Disability-Adjusted Life Years (DALYs) in India.

Biju Mohandas, Partner and Global Healthcare Lead at LeapFrog Investments, said, “Close on the heels of our recent investments in GCMC, a leading hospital chain in the Philippines, and Pharmacity, Vietnam’s second-largest pharmacy retailer, our partnership with Marengo reinforces LeapFrog’s commitment to building high-quality healthcare platforms across Asia and Africa. Marengo has demonstrated that world-class clinical care can be delivered at scale in rapidly growing Tier II cities and beyond. We are excited to partner with Dr Raajiv Singhal, the Marengo team and Samara Capital to accelerate Marengo’s next phase of growth.”

Abhishek Kabra, MD at Samara Capital and Chairman at Marengo Asia Hospitals, said, “Driven by our unwavering focus on clinical excellence and a patient-first philosophy, Marengo Asia Hospitals has, in just five years, emerged as a leading healthcare provider in the regions where we operate. LeapFrog’s investment is a strong endorsement of the platform we have built and the potential for its next phase of growth. The proceeds will be used to consolidate our leadership in our existing markets while enabling us to expand into new geographies. We aim to double our hospital bed capacity to 4,000 beds over the next two years, further strengthening our ability to deliver high-quality, accessible healthcare.”

Marengo Asia Hospitals was advised by Avendus Capital on the transaction.