The total cost of the project, which would be operational by December this year, has been pegged at Rs. 200 crore, including the payment to the sellers of the new facility and the cost of medical technology to be installed, Dilip Jose, Chief Executive Officer of CARE Group, told BusinessLine here.
The acquisition was funded by an equity investment from CARE’s key shareholder, private equity firm Advent International. “The acquisition of this new facility will further enhance our clinical offerings and help deepen our services in several specialities,” B Soma Raju, Founder and Chairman of CARE, said.
In addition to the existing specialities of CARE, the new hospital, named CARE Hitech City, will focus on oncology as well as organ transplants.
According to Jose, the acquisition was in line with the cluster strategy being adopted by the group to ensure is scale and presence in different geographies. A new hospital coming up in Bhubaneshwar and the ongoing expansion of the existing unit in Raipur will also be completed by the year end. “With the new acquisition in Hyderabad, the bed capacity of CARE will go up from the existing 2,400 to 3,000 by December this year,” Jose said.
The Group will also evaluate the option of further expansion of the completion of these projects. “We already have land banks in Visakhapatnam, Vijayawada, Hyderarabad and Nagpur,” he added. It now has a total of 17 hospitals in nine cities.
Business Line.
