Diagnostic firm Aarthi Scans eyes North India, lines up ₹350 cr investment

Sets eyes on IPO in three years; also foraying into fitness diagnostics

Chennai-based diagnostic firm Aarthi Scans and Labs is set to aggressively expand its footprint in North India, as it plans to open 90 per cent of its upcoming centres in the region by 2030 and has earmarked ₹350 crore as investment for the plan.

 

It aims to take the number of branches to 150 by 2030, from the current 85.

 

Aarthi Scans, which is in its 25th year of operations, is also planning to go for an initial public offering (IPO) in the next three years.

 

As part of its strategy to cater to a wider audience, it is also in the process of foraying into fitness diagnostics.

 

“We are planning our IPO in the next three years. Every year, we are clocking a growth of around 20 per cent. In FY25, our turnover was around ₹305 crore, which is slated to cross ₹375 crore during the current financial year,” said V Govindarajan, founder of Aarthi Scans and Labs. The diagnostic major has set a target of achieving a turnover of ₹600 crore in the next four to five years.

 

At present, Aarthi Scans has a presence in 11 states through 85 branches and 150 collection centres across 18 cities.

 

“Our aim is to add an average of around 10 branches every year. Within three months, we will be starting in Uttar Pradesh too. Out of the total branch expansions in the next five years, 90 per cent will be in North India only,” Govindarajan added.

 

The company has a presence in Tamil Nadu, Karnataka, Telangana, Maharashtra, Delhi, West Bengal, Gujarat, Pondicherry, Andhra Pradesh, Kerala, and Haryana. Out of these, around 25 branches are in Chennai, with a majority of 18 clustered in and around Chennai.

 

Arunkumar, son of Govindarajan, is looking into the technological transformation of the company. From X-rays and CTs to brain volumetric analysis, Aarthi Scans is using artificial intelligence in several operations now. “AI is making the job of radiologists easy. Globally also, India has adopted AI better than even developed nations,” Arunkumar said. He added that his company is in the process of starting fitness diagnostics, a fast-emerging segment in India.

 

 The firm came to limelight in 2022 when reports emerged that mid-market private equity fund Tata Capital Growth Fund was in talks to acquire a minority stake.

 

“We were in talks with Tata Capital during Covid. We were doing some extremely good business and wanted to rope in some minority investor. Finally, the valuation was not matching each other,” Govindarajan added.