MEMG to diversify into health foods segment

In its efforts to diversify into different segments, Bangalore-based Manipal Education and Medical Group (MEMG) planned to introduce health foods.

The group recently forayed into healthcare retail operations with the launch of its Health and Wellness centre under the brand name, Manipal Cure & Care (MCC).

Fresh as well as canned health foods ranging from protein shakes, sandwiches, deli salads and juices will be introduced soon at MCC centres across the country.

The integrated MCC centres, 10 of which would be set up by 2007-08-end, will offer a mix of products and services in preventive, wellness and beauty care.

"We are in talks with players with US FDA approved plants for manufacturing nutraceuticals for us. Similarly, we will take advantage of our retail presence in the country to introduce health foods as well. We are already developing some products," said Dr Ranjan Pai, chief executive officer, MEMG.

MEMG, which is part of the Manipal Group, has also tied-up with several companies in healthcare and wellness industry in countries like USA and UK. It recently signed an agreement with USA-based Foot Sol to introduce innovative products and services in foot care.

MCC centres will also have medical professionals in the fields of general medicine, paediatrics, ophthalmology, dermatology, dentistry, among others. The group has launched two of such centres, one each in Bangalore and Ahmedabad.

It has set aside an investment of Rs 250 crore for phased development of at least 50 such centres over next 3-4 years. With a seed capital of Rs 50 crore, the company intends to launch 10 stores in cities like Hyderabad, Pune, Delhi, Gurgaon, Mumbai, Bangalore and Ahmedabad.

"We expect a turnover of Rs 20 crore for fiscal 2007-08 and Rs 50 crore in the later fiscal," added Pai. By 2012, the group intends to do a business of Rs 520 crore.

The centres will also have features like A-M-P-L-E Card (Allergies, Medical History, Past History, List of Medication, Emergency Number), EMR (Electronic Medical Record), customer charter, among others.

It has tied up with ICICI Lombard and ICICI Prudential for insurance products and features products of brands like Bausch and Lomb, Essilor and Zeiss in vision care; Colgate and Oral B in dental care and Johnson and Johnson and Abbot in personal healthcare.