Acquisition

KIMS to Acquire Two Hospitals in South

Kerala Institute of Medical Sciences (KIMS), Thiruvananthapuram, is looking for acquisition of two hospitals and has allocated a budget of around Rs 300 crore for the same. The company is presently in talks with two leading Private Equity (PE) funds to raise corpus. The Group has zeroed in on two funds— an ICICI associate fund (I-Ven Medicare) and a Singapore-based healthcare focused PE player at an undisclosed stake. Dr MI Sa'adullah, Chairman, KIMS said, "Apart from funds from PEs, we are also looking at a strategic partner who would stay with the hospital for a longer period. We would like our partners to stay with the hospital for five to seven years instead of exiting the hospital within three to four years with 25 per cent annual returns." India's largest PE fund, ICICI Venture's healthcare-focused fund, I-Ven Medicare, has a corpus of $250 million. "As part of our expansion plans and to strengthen our network, we are looking for two hospitals with a capacity of 100 to 250 beds around Bangalore and nearby areas," said Dr Sa'adullah. The management is also interested in expanding its network in the Middle-East region. "We are presently exploring the opportunities there," he said. Besides this, the management also has plans to go for an IPO in the next 36 months.

EH News Bureau