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Hospital chain plans Rs 250-cr expansion

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BS Reporter Chennai/ Bangalore
Last Updated : Jan 20 2013 | 12:46 AM IST

Narayana Hrudayalaya Hospitals, a Bangalore-based healthcare group, is planning to add 1,000 beds to its present capacity of around 10,000 beds this fiscal and is likely to invest around Rs 250 crore as part of its capital expenditure plan.

“We aim to ramp up our bed capacity to 25,000 beds by 2011 and 30,000 beds by 2012 and most of these capacities will come up in our health cities,” Devi Shetty, chairman of Narayana Hrudayalaya said at the sidelines of opening of the Mazumdar Shaw Cancer Centre here.

Earlier, Union health minister Gulam Nabi Azad said in the opening ceremony that the Centre was planning to introduce an additional 12,000 post-graduate seats in government medical colleges in the next three years with the establishment of the OncoNet India project to connect 27 cancer centres in the country.

“We would like to see more health cities modelled on Narayana Hrudayalaya to provide affordable healthcare to the poor,” Azad said.

As part of its business expansion plans, the group will raise its capacity to 2,000 beds from the present 750 at its Kolkata facility and to 5,000 beds from present 500 in its Hyderabad health city.

Similarly, bed capacity at its Jaipur facility will be increased to 3,000 from 1,400 as part of the second phase expansion plan.

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“Our Ahmedabad facility of 1,500 beds will be commissioned in the next six months with proposed health cities in Bhubaneswar, Siliguri and Mysore,” Shetty added.

The group is also in talks with various state governments to set up health cities.

“We are in discussions with the state governments of Madhya Pradesh, Maharashtra and Delhi to set up units in various cities of these states,” he said.

Barring domestic presence, the group is also planning to increase its international footprint in near future and has tied up with government of Cayman Islands to set up unit there.

“We are in talks with Mexico and Malaysian government to set up facilities there but anything concrete is yet to come up from these discussions,” he said.

He, also, said that the healthcare chain had no plans to raise funds in near future and would support the expansion plan through internal accruals and induction of strategic investor.

The group, which raised around $100 million from JP Morgan and AIG in 2006, is not looking at the second round of funding, Shetty said.

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First Published: Apr 26 2010 | 12:50 AM IST

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