Medanta to Build 2nd Largest Pvt Hospital in Mumbai with INR 1,200 Cr Investment

The new hospital, which will boast over 500 beds, aims to provide advanced medical treatments to Mumbai's residents and its surrounding regions.

Global Health, the operator of Medanta Hospitals, has earmarked INR 1,200 Cr for a new super specialty hospital in Mumbai.

This substantial investment, encompassing land acquisition and construction costs, will be financed through a combination of debt and internal accruals.

The new hospital, which will boast over 500 beds, aims to provide advanced medical treatments to Mumbai's residents and its surrounding regions.

"Mumbai has been on our radar for many years, but getting suitable land was a challenge, since this land parcel came up for public auction by the government, we decided to bid for it," Ravi Gothwal, head of investor relations at Medanta, stated.

Gothwal further mentioned that the project would take approximately 3-4 years to complete once all customary and regulatory approvals are obtained.

Upon completion, the new facility will become the second-largest private hospital in Mumbai, following the 750-bed Kokilaben Dhirubhai Ambani Hospital & Medical Research Institute (KDAH).

Medanta is renowned for constructing large-format hospitals. Its existing facilities include a 1,140-bed hospital in Gurugram, a 699-bed hospital in Lucknow (with plans to expand to 950 beds), and a 376-bed hospital in Patna (with potential expansion to 650 beds).

In July, Medanta acquired 8,859 sq m of land in Oshiwara, Mumbai, from the Maharashtra Housing and Area Development Authority for INR 125.1 Cr in a public auction, outbidding Thane-based Jupiter Hospital.

As of March 31, 2024, Medanta's total capacity stands at 2,823 beds. The company plans to add 550 beds across its facilities in Gurugram, Lucknow, Patna, and Noida in FY25.

Additionally, it has announced a 400-bed hospital in South Delhi in partnership with realtor DLF and a 300-bed hospital in Indore with a real estate partner, along with an additional 250-bed capacity in Noida.

In its recent financial report, Medanta reported a net profit of INR 106.3 Cr for Q1FY25, marking a 4.2% year-on-year growth.

The company's revenue increased by 11% YoY to INR 883 Cr in Q1FY25, attributing the growth to higher patient volumes, increased bed occupancy, and improved realizations.

Founded by Dr Naresh Trehan, the Medanta Group is a leading private multi-specialty tertiary care provider operating in the North and East regions of India. The operational hospitals, including Jay Prabha Medanta Hospital in Patna, provide healthcare services in over 30 medical specialties.