FDI-funded hospital to invest $15 mn in expansion

Funded by a few individuals based out of Seattle in the US, Columbia Asia, India's first hospital to be built through the FDI route will now widen its footprints. After its first hospital in Bangalore, it plans to open another three or four hospitals in the city and then later set its foot in New Delhi.

Columbia Asia, which has hospitals in Malaysia and Vietnam in addition to India, will invest another $15 million to set up another two-three hospitals in Bangalore. Work has started on a referral hospital in Yeshwantpur beside Metro Cash & Carry.

Instead of building a single big hospital, Columbia Asia, believes in building smaller hospitals spread across the city so that people from across the city are able to avail of the hospital's facilities without having to travel long distances. The 90-bed hospital in Hebbal supports this business strategy.

The hospital, which now enjoys about 45 per cent occupancy, also sees 200-250 outpatients everyday. With some 40 doctors on its rolls, the hospital covers almost all specialities. The hospital has tied up or is talking to many of the big companies located in and around Hebbal, where the hospital is located in the north of Bangalore, to attract more patients, said Tufan Ghosh, chief executive officer, Columbia Asia.

"The low returns (about 8 per cent) and long gestation periods make it a risky venture. Hence, not many try their hand in the business," said Ghosh.

The hospital hopes to have many foreign patients flying in for specialised treatment from the US and Western Europe. The close proximity of the Bangalore International Airport which is coming up in Devanahalli which is just over 20 kilometres will make this possible, said Ghosh.

The hospital is expanding its facilities with the start of a 'comprehensive diabetic clinic' that it opened on Wednesday.

The clinic will provide a comprehensive, stepwise, periodic annual programme of treatment. The hospital will allow patients to avail of medicines and consumables at a price lower than the market price, claimed Ghosh. It will cost a patient around Rs 3,000 a year to secure the treatment to check/control the symptoms of diabetes.

The diabetic clinic allows the patient to enter the programme under the care of his or her physician from the hospital.