SevenHills Hospital's Mumbai facility set to take off

SevenHills Hospital, which is coming up with Asia’s largest private sector hospital in a single location at Andheri in Mumbai, is set to operationalise the facility.

Supposed to have a capacity of 1,500 beds, the multi-speciality hospital will initially start with 300 beds by September with the rest being commissioned within the next six months, according to Jitendra Das Maganti, chairman and managing director of SevenHills Healthcare.

Coming up over 17 acres, about four km from the international airport, it will occupy 2 million sq ft of built-up area, with 16 blocks of 11 floors each. Once fully functional, it will employ about 3,000 people, including 400 doctors. It will cater to all income groups.

The project achieved financial closure about 18 months ago, with a debt-equity ratio of 1:1.3. It is funded by a consortium of 10 banks led by Allahabad Bank. Further, a leading US-based private equity fund picked up a substantial minority stake in the project. Maganti declined to reveal details, saying there was a confidentiality agreement.

“We hope to achieve break-even in five-six years, with the first year of operations contributing about Rs 250 crore and then an average Rs 450-500 crore revenue in the next four years,” he said.

“This region lacks good hospitals and the whole of Mumbai has just 40,000-50,000 hospital beds, which is grossly inadequate. We are sure to get patients,” he said. Initially, the hospital expects 300-400 outpatients to visit the hospital every day.

“The hospital will offer more than 50 per cent of our bedstrength to lower and middle income groups. The Andheri East region has a population of about 1.2 million people but lacks good hospitals,” said Sanjay Sharma, vice-president, hospital services development.