Apollo Hospitals said today that the company will raise Rs 600 crore through a qualified institutional placements(QIP) for expansion plans. The company is also looking at African countries like Nigeria and Uganda for acquisitions and for setting up new units.
“We had got the nod from shareholders and the board to raise Rs 900 crore. Considering the immediate requirements, we have scaled it down to Rs 600 crore. The money raised will be used only for expansion purposes. We will add another 2,000 beds to our portfolio in next 24 months,” said Preetha Reddy, Managing Director of Apollo Hospitals, on the sidelines of the launch of bone marrow transplant unit at Apollo Gleneagles Cancer Hospital in Kolkata.
It will expand facilities in Mumbai, Nasik, Nellore and Chennai during this period. Earlier this month, Apollo had got shareholders' nod to raise about Rs 1,054.8 crore by issuing securities through qualified institutional placement and convertible warrants to promoters.
Meanwhile regarding overseas plans, Reddy said, “Though we have an India-focused business plan, Apollo is also looking at opportunities in African countries like Nigeria and Uganda. We might go for acquisitions or would set up own units there, if the local governments’ provide us land. However, the biggest challenge in these countries would be getting good manpower.”
The group currently has over 8,800 beds in 52 hospitals across the country. It is planning to raise the number of beds from 8,000-mark to 20,000 in this decade.
“If good opportunities come, we will go for acquisitions in domestic market also. In India, we are growing at an average of 28 per cent year on year,” she said.