In a move aimed at strengthening its leadership position in the primary and secondary healthcare segment, Apollo Health and Lifestyle Ltd. (AHLL) — a leading player in the retail healthcare segment in India — has received investments of Rs 450 crores from International Finance Corporation (IFC) and IFC Asset Management Company.
The investment is expected to fuel AHLLs expansion plans and fulfill its vision of bringing healthcare of international standards within the reach of 20 million patients each year by 2020.
Through this investment we endeavour to continue Apollo Group’s legacy of setting industry benchmarks & contributing to elevate the standard of healthcare to the next level. Being at the forefront of disease management in India, AHLL feels a strong sense of responsibility to align its expansion plans with the needs of the country,” said Sangita Reddy, Joint Managing Director, Apollo Hospitals Enterprise Ltd.
“Given the immense potential and the need for quality healthcare delivery at affordable prices, AHLL will continue to expand through both organic and in-organic means and is committed to enhancing the patient experience and medical care offered by the current network. We have always been proactive in offering healthcare to meet the changing patterns of diseases and constantly strive to make quality medical care accessible to all, she added.
AHLL will use IFCs equity investment to expand its network of clinics, cradle and diagnostics centres across India. The investment will create multiple job opportunities across India for healthcare professionals, including doctors, nurses, and technicians.
This investment is probably the largest ever private equity growth capital investment in the primary healthcare segment in India. It reflects the strength of the team that AHLL has built and the leadership position of its formats. We currently serve over 10,000 customers daily, and with this next round of expansion, we shall be able to extend the Apollo brand of clinical expertise and tender loving care to many more people in the cities we serve and also extend to new cities, said Neeraj Garg, CEO, Apollo Health and Lifestyle Ltd.
IFC is the world’s largest multilateral investor in private healthcare, with an active portfolio of about Rs 117 billion of health investments.
Our investment in Apollo reflects our commitment to private sector supporting the delivery of better health outcomes. It addresses issues of access, quality, and affordability across the country, said Henrik Elschner Pedersen, IFC Senior Manager “ Consumer and Social Services “ Asia.
Since 2005, IFC has made multiple rounds of debt and equity investments in Apollo Hospitals to help the company with its expansion plans and increase access to affordable healthcare in the country, he added.
The healthcare segment in India has seen tremendous growth in the last decade, growing at over 15 per cent. Currently, the Apollo Clinics division has 72 clinics spread across the country and is aggressively looking at setting up new clinics, while also expanding its diagnostic division which is already present in all major district headquarters of the southern states and is expanding into East India currently.