Narayana Hrudayalaya to add 500 beds in 2016-17

Narayana Hrudayalaya to expand chain with new projects at Jammu, Mumbai

An addition of 500 beds with the launch of a new hospital in Jammu and a paediatrics hospital in Mumbai are part of Bengaluru-based Narayana Hrudayalaya’s expansion plans in 2016-17.

Speaking to Business Standard on the sidelines of an HR summit organised by the Confederation of Indian Industry (CII), Ashutosh Raghuvanshi, vice-chairman, managing director and Group chief executive officer, Narayana Hrudayalaya Hospitals, said, “Almost 60 per cent of the population is in the mass market of affordable health care. We would target the health care schemes of the state governments to address this market. Our focus will always be the working class.”

The health care service provider, which was recently listed in BSE, would look at opening a 250-bed hospital at the shrine complex in Vaishno Devi, Jammu, by June and a 250-bed children’s hospital in Mumbai.

For the Vaisho Devi temple plan, the shrine’s board is providing the facility and the equipment, while for the children’s super speciality hospital in Mumbai Narayana Hrudayalaya is partnering with the Society for Rehabilitation of Crippled Children. The company would invest around Rs 45 crore in the facility for equipping it for operations.

At present, it has around 6,200 beds, of which around 5,480 are in use. With the addition, the company would have around 6,700 beds by the end of 2016-17.

“A major share of our beds is young, and it would take a few years for them to mature and really contribute to the growth,” said Raghuvanshi.

Along with this, the company would later look at brownfield developments that could include partnerships or acquisition. It would not be looking at too many greenfield projects, he added.

Naryana Hrudayalaya has recently completed its Initial Public offering (IPO), and has seen a 36-per cent premium against the issue price of Rs 250 per share on the exchanges, on the day of listing. The private health care service provider raised Rs 613 crore with the IPO.