The expansion will be funded through internal accruals and debt financing.
Apollo’s proposed 500 bedded hospital in Worli, Mumbai with an investment of Rs 1300 crore will be executed through a build, operate and manage agreement with Konkan Unnati Mitra MandaI (KUMM) on around 1. 7 acres of land.
KUMM is a public trust registered under the Maharashtra Public Trusts Act, 1950 and also registered as a society under the Societies Registration Act, 1860.
“The Worli facility will have additional beds for meeting Charity commissioner rules for indigent and weaker sections of the society and facilitate KUMM in achieving its charitable and social objectives as well,” Apollo said in a statement to stock exchanges.
Apollo has been trying to enter South & Central Mumbai market for sometime, but lack of suitable land parcel and exorbitant costs of real estate has kept Apollo away.Apollo also said its another subsidiary Apollo Medics International Lifesciences has acquired 1.2 acres of land in Lucknow for expansion of its existing hospital facility by an additional 200 beds with an investment of 325 crore. Lucknow market is seeing heightened competition for Apollo with Medanta and recent entry of Max Healthcare through the acquisition of Sahara hospital.Apollo Hospitals has an existing portfolio of around 9,363 operational beds, of which 7,942 are owned, 790 through O&M and 631 are day surgery and birthing.
