Parkway Pantai integrates part of Indian operations with brand Gleneagles

Asia's largest healthcare provider Parkway Pantai, which forayed into India in 2015 with the acquisition of Hyderabad-based Continental Hospitals and tertiary care chain Global Hospitals, has integrated part of its Indian operations with its global brand Gleneagles.  

While the erstwhile Global Hospitals, with units in Hyderabad, Chennai and Bengaluru, has been rebranded under Gleneagles, the company has chosen to retain the identity of Continental Hospitals for the time being. As of now, India is the third home market of Parkway Pantai Group, after Singapore and Malaysia, following the two big acquisitions. The company has a network of 10 hospitals in Chennai, Bengaluru, Hyderabad, Kolkata and Mumbai, Ramesh Krishnan, chief executive, India Operation, Parkway Pantai, told Business Today.

Parkway Pantai is part of Malaysia-based IHH Healthcare, the world's second largest healthcare group by market capitalisation. IHH operates more than 10,000 beds across 52 hospitals in 10 countries.

In March 2015, Parkway bought 51 per cent in Continental Hospitals for over Rs 300 crore and in August that year, it acquired 74 per cent stake in Global Hospitals for Rs 1,800 crore.

"While we have 1,100 beds as part of Global Hospitals' alliance, 300 beds are operational from the Continental Hospitals' 650-bed capacity. We have 700 beds in Kolkata and altogether 2,100 beds are now operational. We may add another 1,000 beds, including suitable forays into the North Indian markets like the NCR region in future," Krishnan said.

The major change post the acquisition of Global Hospitals was the rationalisation of systems and clinical programmes in tune with Parkway standards. About Rs 280 crore was infused to clear debts and HDFC Bank is the sole lender now. About Rs 100 crore was spent on select hospitals to create latest medical equipment infrastructure.

Parkway was a strategic investor in Apollo Hospitals for a long time, with a joint-venture hospital in Kolkata. India's Fortis Healthcare made an unsuccessful attempt to take over Parkway a few years ago.