MUMBAI (TIP): Thyrocare Technologies, a Mumbai-based medical diagnostics services provider, has raised about Rs 120 crore from private equity (PE) firm Norwest Venture Partners (NVP). Through the deal, Thyrocare has diluted about 10 per cent stake in the company, it is learnt. As part of the agreement, Sohil Chand, managing director of NVP India, would join Thyrocare’s board of directors. The diagnostics market in India is estimated at Rs 10,000 crore.

Thyrocare’s network of 20,000 service centres across 1,000 cities and towns in India accounts for about 1,00,000 doctors, through 600 franchisees. For Thyrocare, this is the second PE investment.

In 2010, CX Partners had invested Rs 188 crore for a 30 per cent stake in the company. A Velumani, managing director and chief executive of Thyrocare Technologies, said, “When CX Partners invested, we were motivated and ventured into Nueclear, (the in-vivo segment).

Now, with NVP’s investment, we would explore global markets.” NVP manages about $3.7 billion in capital and has funded 500 companies. India’s diagnostics sector has been in the radar of PE majors for some time. Early this year, Singapore based GIC had invested $100 million in Vasan Healthcare, while last year, Goldman Sachs invested about Rs 300 crore for a six per cent stake in Max India. In 2010, US-based TA Associates had invested $35 million in Dr Lal Pathlabs. Last year, PE fund Avigo Capital Partners had acquired 9.27 per cent stake in Super Religare Laboratories for Rs 100 crore.