Kauvery Hospitals, a leading hospital chain, is on an expansion mode with plans to have a capacity of 3,000 beds in South India by 2025. Established in 1999 by S Chandrakumar and S Manivannan as a 30-bed hospital in Trichy, it now has a network of nine healthcare facilities comprising 1,500 beds across six cities.

The group recently acquired hospitals in Tirunelveli and a second hospital in Bengaluru, and will be launching its second facility in Chennai before the end of this calendar year, says a release.

Expansion

S Chandrakumar, Chairman of Kauvery Hospitals said, “the company is currently in the midst of a fast-paced expansion programme, as it plans to reach 3,000 beds by 2025 with a network of 15 hospitals spread across seven cities in South India. Tamilnadu and Bengaluru will be the focus-regions, with a total capex outlay of ₹1,000 crore. We will also continue to evaluate opportunistic acquisitions in South India, and also expand our offerings into immediate adjacencies, over and above the current plan.”

S Manivannan, Managing Director of Kauvery Hospitals said over the years the group has remained cognisant of the gaps in healthcare needs in its focus markets, which has enabled a wide acceptance of its services by patients.

The company has hired o3 Capital as its exclusive financial advisor with the clear objective to raise minority growth capital to fuel its planned expansion initiatives. The company intends to go for an IPO once it achieves an optimum scale along with strong financial metrics in the next 3-4 years. Given the historical performance and crystallised expansion plans, various marquee investors have evinced interest in backing the group as the company seeks to close the process in the next few months, the release said.

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