India’s second-largest hospital chain, Max Healthcare Insititute Ltd., plans to invest Rs 3400 or $450 million in India in the span of the next four years. This investment will boost the capacity of India’s existing hospitals which is highly insufficient compared to its population. Max Healthcare had invested Rs 1600 crores in October 2021 to add 1000 beds in Gurugram, Haryana. They planned to add 2 hospitals of 500 beds each to fortify its presence.
The investment takes place amidst the fear of an upcoming COVID-19’s third wave led by Omicron. The delta variant-led wave in April and May last year overwhelmed hospitals in a country of almost 1.4 billion people.
The investment will not only boost the currency capacity of hospitals but will also increase the company’s landholdings. Max Healthcare was able to land banks in Mumbai and New Delhi to help them facilitate this expansion. Max Healthcare’s Chairman and MD, Abhay Soi said the company is entering “a huge asset creation cycle in the two to three years,” to Bloomberg TV. He further added that Max Healthcare would continue to focus on medical tourism. Max Healthcare is currently one of the largest private-sector hospital chains in India on the basis of revenues. A bulk of its 17 facilities are concentrated in North India.