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Sunday, July 26, 1998

Asian Health Services may acquire stake in Delhi-based hospital 

K Baburajan  
Bangalore, July 25: Asian Health Services plans to acquire an equity stake in a New Delhi-based hospital project promoted by non-resident Indians (NRIs). Asian Health is a 50:50 joint venture of the US-based $5.6-billion ServiceMASTER.

"We will be pumping in about Rs 65 lakh in the Rs 32.5-crore project," managing director Amit Bagaria said. He, however, refused to name the NRIs as they are just entering the domestic market to set up a Rs 90-crore uro-renal hospital.

The company's service to hospitals and speciality clinics include financial planning and project-feasibility studies, architecture and engineering, technology and equipment planning, interior space and design planning, manpower planning, resource mobilisation, equipment procurement assistance, and project management.

Bagaria said the company also plans to set up an insurance consultancy business cell in the country. "With the opening up of the insurance sector in a big way, we expect a huge potential in the highly lucrative market. Thecompany will introduce Creative Healthcare Solutions (CHS), an arm of ServiceMASTER, in the country for the purpose," he added.

"In India, it will be separate division of the company. CHS will negotiate on behalf of doctors and clinics with the insurance companies. We are planning to recruit experienced lawyers from the US for this," Bagaria added.

CHS, a healthcare consulting firm, specialises in health insurance and managed healthcare consulting. The service and strategies of the division involves assisting clients in achieving greater cost efficiencies, expanding alignment opportunities, and developing strategic relationships.

At present Asian Health Services is involved with projects valued at Rs 275 crore. In addition to the New Delhi venture, it is connected with a Rs 30-crore mother and child hospital in Mumbai, a Rs 20-crore cardiac and nephrology hospital at Guwahati, re-engineering for a group of hospitals in Kerala, a Rs 7-crore AIDS care centre and hospice at Hyderabad, and the expansion andmodernisation of seven hospitals for Karnataka government.

The company is also mulling over the possibilities of unveiling ServiceMaster's $400 million Diversified Health Services (DHS) division in near future.

"Apart from developing its own facilities and providing turnkey development services to customers, the DHS implements management systems for long-term care facilities which include sub-acute care, skilled nursing care, personal care, independent living, assisted living, retirement housing and hospice care facilities," Bagaria said.

According to him, at least four to five leading domestic companies are keen to offer long-term care facilities as part of their value-added services and diversifications. The long-term facilities is yet to catch up in the domestic market. But customers are capable to adopt such services.

"To achieve substantial growth in this segment the company plans to spread to target markets in Central Asia and south-east Asia. We have identified Thailand, Malaysia, Singapore,and Vietnam as potential areas," he added.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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