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HCG opts for asset light model to open 225-bed tertiary care unit; firms up Africa plans via partnership mode
Nandita Vijay, Bengaluru | Tuesday, June 11, 2013, 08:00 Hrs  [IST]

HealthCare Global Enterprises Ltd. (HCG) has opted for an asset light model to open a 225-bed tertiary care centre, in Bengaluru which is equipped with state-of-the-art facilities and advanced technology.

The cancer care major had received a fund infusion from the Singapore-based investment company Temasek Holdings. We have used a portion of these funds to take our efforts to set up a tertiary care centre in West Bengaluru, Dr B S Ajaikumar, chairman, HCG Group, told Pharmabiz in a telecon.

It is also in the process of increasing its presence in Africa and has identified the centres in Kampala in Uganda to open a diagnostic facility. “We will eventually lead to transforming this into a  full-fledged centre for treatment and recovery too,” he added.

In July this year, we are looking to commission the same as the  equipment installation is underway. Our Africa plans encompass Uganda and Nairobi too. We are Looking at partnering with existing hospitals. There is a major chunk of the patients who have been accessing our facility in Bengaluru for second opinion, treatment and rehabilitation. This led us to look at Africa in our global expansion strategy. India’s oncologists and expertise need to be replicated in developing the markets and this is where Africa was seen as a right fit and we looked at  a collaborative strategy, said the HCG chief.

Nearly one million Indians succumb annually due to inadequate healthcare facilities and 700 million people have no access to specialist care. India faces a huge need in terms of availability of number of hospital beds per 1000 population. With a world average of 3.96 hospital beds per 1,000 population the country  stands just a little over 0.7 hospital beds per 1000 population, one of the lowest in the world.  Even Sri Lanka has 3.1 beds per 1,000 population, China: 3 beds, Thailand :2.2, Brazil: 2.4, USA: 3.1 and UK: 3.9 beds per 1,000 population.

With inadequate budgetary support from the  Central and State levels, most governments are finding it increasingly difficult to expand their public health facilities.   This gap is being filled by the private sector. In terms of resource allocation, the areas that have suffered most are secondary and tertiary care. This is because expansion of tertiary health care facilities needs considerable resources to adequately respond to the needs of advanced  diagnostic procedures and treatment modalities, said Dr Kumar.

“We have been successful in redefining cancer care by setting up comprehensive units pan India which was possible only because  we collaborated with  doctors,” he said.

Currently HCG which  is Asia’s largest cancer care network, has 27 oncology units and four tertiary care centres, in addition to its recent entry to invest in  four  fertility care centres.

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