A nano-structured titanate layer encapsulated with Ca2+ and Ag+ ions was successfully grown over commercially pure (CP) Ti metal by chemical treatment with H2O2 and subsequent treatment with Ca (NO3)2/AgNO3 solutions. Heat treatment at 600 °C, further transformed this nano-structured titanate layer into titania containing Ca2+ and Ag+ ions. Thus modified Ti metal showed significant enhancement in apatite-forming ability when soaked in simulated body fluid (SBF). Presence of Ag+ ions showed good antimicrobial activity against pathogenic Staphylococcus aureus, and, Ca2+ ions being a major component of bone mineral accelerated the apatite-forming ability over Ti metal in SBF. Further, Ca2+and Ag+ ions proportion over Ti metal surface could be optimised in order to have minimum Ag concentration that can have not only antibacterial activity and also cell compatibility against MG 63 osteoblast-like cells. Therefore, the proposed surface modification approach presented here is expected to be useful in orthopaedic implants that necessitate enhanced bioactivity, antibacterial activity and cell compatibility.