**Jashvik Capital Acquires Stake in Marg ERP for Over ₹400 Crore**
**Meta Description:** Jashvik Capital invests over ₹400 crore in Marg ERP, a leading pharma software provider, aiming to capitalize on India’s growing healthcare SaaS market.
**URL Slug:** jashvik-capital-marg-erp-acquisition
**Jashvik Capital Acquires Stake in Marg ERP for Over ₹400 Crore**
Private equity firm Jashvik Capital announced on Wednesday that it has acquired a significant stake in Marg ERP, a prominent provider of pharmaceutical software, for more than ₹400 crore. This investment marks the fourth from Jashvik’s inaugural fund, which aims for a total corpus of $350 million. The firm is optimistic about the potential growth of organized healthcare software as a service (SaaS) in India, where Marg ERP currently holds a leading position.
The healthcare software services market in India has traditionally been unorganized. However, with increasing digitization, stricter regulatory frameworks, and evolving consumer trends, this sector is poised for substantial growth. Naresh Patwari, founder and managing partner of Jashvik Capital, emphasized the global opportunities in healthcare SaaS, stating, “We believe we are at the beginning of a super cycle in India.” He added that while the country is still in the early stages of this transformation, the investment in Marg ERP represents a foundational step towards building a platform that can leverage this emerging trend.
Jashvik Capital, a mid-market private equity firm, has previously invested in companies such as Jabsons Foods, Futura Surgicare, and Smart Vision Eye Specialities Pvt. Ltd. The firm is also finalizing an investment in Midas Hygiene, a manufacturer of pest control and home care products, which was announced earlier this year.
Founded in 2000, Marg ERP is one of India’s largest providers of enterprise resource planning (ERP) and accounting software tailored for pharmaceutical retailers and wholesalers. The company boasts over 500,000 subscribers and operates in India as well as 32 other countries, serving various stakeholders in the pharmaceutical distribution chain, including wholesalers, distributors, and pharmacies. Patwari noted that Marg ERP commands over 50% market share in certain segments of the distribution chain, highlighting its strong market position.
“Marg is a highly profitable, fast-growing company,” Patwari remarked, noting a long-term growth rate of 25% and a recent surge of nearly 40%. He believes the company is well-positioned to continue compounding growth over the next 10 to 15 years, indicating that the market is just beginning to experience a long-term trend.
Looking ahead, Jashvik Capital plans to enhance Marg’s operations through a combination of organic growth and strategic acquisitions, alongside increased investment in research and development. Patwari stated, “Our goal is to expand, deepen our presence in India, and broaden our reach internationally.”
In 2022, API Holdings, the parent company of PharmEasy, acquired a 49% stake in Marg ERP, but the founders repurchased this stake in February of this year, further solidifying their control over the company.
**FAQ**
**What is Marg ERP?**
Marg ERP is a leading provider of ERP and accounting software specifically designed for the pharmaceutical industry, serving retailers and wholesalers in India and beyond.
