The Trichy-based Vasan Eye Care (VEC) Hospital, a unit of Vasan Healthcare Pvt Ltd is investing Rs 280 crore (US$ 70 million) for expansion of hospitals across the country. Currently, the eye major has 60 facilities in south India and will take the total number to 100 over next 18 months.

The investments for the domestic market will be Rs 200 crore and the balance Rs 80 crore is for its global foray. The funds will be sourced through internal accruals, debt and operating lease. Earlier, VEC received Rs 80 crore for its facility expansion from Sequoia Capital India.

The ophthalmic hospital which commenced operations over six decades ago, now has a major presence in southern states since its first full-fledged modern facility took off in 2002 at Trichy. In Bangalore, it has a total of four hospitals and facilities in Karnataka at Hubli, Belgaum, Dharwad, Mangalore. It is now looking to increase its footprint in Davengere, Shimoga, Bellary by the end of this year.

The effort is to bring in world class treatment and facilities at affordable rates to a maximum number of patients in the metros, Tier II and Tier III cities. The pan India expansion will give a fillip to advanced ophthalmic care which can be accessed by the patients as eye disorders are on the rise. Global expansions will cover Gulf Cooperation Council (GCC) countries and South East Asia including Malaysia, Singapore, Thailand and Philippines. Under this expansion, Vasan is looking to double its ophthalmologist strength from the current 300 to 600 and its staff from 5,000 to 10,000, Dr AM Arun, chairman Vasan Health Care said at the press conclave.

Each VEC facility offers glaucoma, cataract, retina, refractive treatment, cornea surgeries, paediatric eye care for squint correction, Amblyopia, Strabismus among others, Oculoplasty which includes eye lid repairs, orbitotomy are some of the comprehensive treatment options. The hospital has installed 18 Zyoptix Bausch & Lomb laser machines for treatment of sight power correction.

Ending this fiscal, Vasan Healthcare clocked a turnover of Rs 150 crore and is confident of touching Rs 500 crore in two years. The need for eye care is gaining ground. There is a paucity of special hospitals in ophthalmic care. Our expansions and expertise will help us to garner the required revenues, said Dr Arun.

There is also a growing demand for eye care in the medical tourism. Currently 10 per cent of VEC revenues are from this segment from its metro hospitals. Going forward, the earnings from medical tourism are bound to increase, said Dr Arun.

Between 2002 and 2010, VEC had 75,000 patients. It also has a tele-ophthalmic service connecting the metro hospitals to Tier III towns.

Vasan Foundation which is the corporate social responsibility arm has been engaged in conducting eye camps.

Although ophthalmic hospitals are not bed intensive like other specialties, the present bed to patient ratio is 1.03 in India per person. Abroad the ratio is 4.03 bed-per-patient. In India, an investment of Rs. 312 crore is required to take the bed to patient ratio to 1.85 by 2014. This is where the need for more ophthalmic hospitals is being highlighted, said Dr Arun.