Thursday, April 5, 2007

Fortis plans to expand hospital network

Fortis Healthcare, promoted by the Singh family of Ranbaxy, plans to expand its network to 40 hospitals within three years by either acquiring new facilities or setting up greenfield projects. The investment in these projects, primarily in western and southern India, will be over Rs 1,000-Rs 1,500 crore. Fortis, at present, runs 12 corporate hospitals in north India.

A source close to the development said, in another one or two years, Fortis would set up a network of five to six hospitals in Mumbai. This would be either through a takeover of existing facilities or through strategic alliances with reputed trust-run hospitals. Fortis is also evaluating the option of starting green field projects in Mumbai.

Further, the company is in advanced negotiations with the Mumbai-based real estate major Hiranandanis to manage their proposed hospital projects. A memorandum of understanding is being worked out by the partners.

Confirming this, a Hiranandani spokesperson said they are planning five to 10 hospitals within the next five years, though yet to finalise the locations. Fortis has already set its foot in Mumbai recently by acquiring the Hiranadani hospital project at Vashi in Navi Mumbai for over Rs 25 crore.

Read more in The Business Standard article.

No comments: