Ambuja Neotia Group is setting up seven new healthcare facilities, including hospitals in Guwahati and Raipur, in the next three to four years, investing around ₹1,600-1,800 crore.
The healthcare vertical of the Kolkata-based group, Ambuja Neotia Healthcare Venture, is open to inorganic opportunities as well in both mother and child care and multispecialty segments.
The seven new projects are mostly being funded by a combination of internal accruals and bank debt. The company may consider raising capital from private equity firms going forward for any large acquisitions if the asset is found to be valuable for overall growth plan.
“So most of this (capital expenditure) is being funded by a combination of internal accruals and bank debt. So far with the current projects that we have on ground, we feel that our balance sheet is strong enough in order to help with that investment requirement. But if there is more that we end up committing to, we might look at raising some capital that might help smoothen our investment,” its executive director, Parthiv Neotia told businessline.
Currently, the company has three hospitals-- two in Kolkata and one in Siliguri in West Bengal--- with around 500 beds.
Future plans
“The seven projects will be completed in the next three to four years. After completion of these projects total bed count will be around 2,000,” Neotia said, adding the new mother and child care hospital in Guwahati will begin operations in the next month.
“In two months we are opening our paediatric multispecialty hospital, which is an extension to our New Town hospital (in Kolkata). So we are adding 100 more beds and making it one of Kolkata’s most advanced paediatric multi specialty hospitals. In fact, with this technology, it will be one of the most preferred hospitals for paediatric care in all of East India,” Neotia said.
These seven upcoming facilities are the projects which are already committed on ground. The company’s broader strategy is to expand the mother and child care segment in major East India cities.
“We are looking at cities like Bhubaneswar and Patna and even other markets in Bengal. And we also want to expand into the multispecialty segment,” he said.
He said the company is open to raising funds from private equity firms provided there is a need. “Today, there is no need, But tomorrow, if I find an opportunity where I need to invest maybe another 1,000 crore to buy a hospital or asset which I think will be valuable for my overall growth plan, I will definitely go to the market and see if there is a good opportunity to raise it or not,” Neotia added.