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Vizag : HealthCare Global Enterprises Limited (HCG), one of India’s largest cancer care networks, has announced the acquisition of Mahatma Gandhi Cancer Hospital & Research Institute (MGCHRI) in Vizag, Andhra Pradesh, for an Enterprise Value of INR 4,140 Mn.

Initially acquiring a 51% stake in MGCHRI, HCG plans to complete the acquisition of an additional 34% stake over the next 18 months. This strategic move positions HCG as a leader in a highly promising micro-market with a strong primary catchment area and significant secondary catchment from neighboring states.

Established in 1986, Mahatma Gandhi Cancer Hospital & Research Institute is renowned as the foremost provider of comprehensive cancer care in Vizag, holding the highest market share in the region. This acquisition is expected to enhance HCG’s annual EBITDA by INR 3 per share and solidify its leadership with a dominant presence in Vizag.

The hospital currently operates 196 beds and boasts advanced medical infrastructure, including 2 LINAC machines, 1 PET CT scanner, 1 Robotics Surgery System, and a dedicated Bone Marrow Transplant (BMT) unit. Its clinical team comprises 31 doctors, including 12 Surgical, 6 Radiation, and 4 Medical oncologists.

HealthCare Global Enterprises Limited (HCG) has demonstrated strong revenue growth from Rs. 87.6 crore in FY21 to Rs. 120.2 crore estimated for FY24E. Similarly, EBITDA has shown steady improvement, increasing from Rs. 33.9 crore in FY21 to an estimated Rs. 42.2 crore in FY24E. These financial metrics reflect HCG’s consistent expansion and operational efficiency in the healthcare sector, underscoring its strategic positioning and growth trajectory in providing specialized cancer care services across India.

 


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