Metropolis Healthcare to Acquire 2-3 Companies Annually, Says Ameera Shah

"We are generating ₹200-300 crore cash every year. That money becomes available to do acquisitions. Plus, we are debt free," she stated.

Diagnostics chain Metropolis Healthcare plans to acquire two to three companies annually to expand its presence, particularly in northern and eastern India, and enhance its specialty testing services, said promoter and executive chairperson Ameera Shah.

The company aims to focus on oncology, neurology, nephrology, gastroenterology, gynaecology, and infectious disease testing as part of its growth strategy. The expansion will be financed through internal accruals, Shah said.

"We are generating ₹200-300 crore cash every year. That money becomes available to do acquisitions. Plus, we are debt free," she stated.

Growth Strategy and Market Position

Metropolis Healthcare, currently the second-largest diagnostics player in India, is looking to close the gap with market leader Dr Lal PathLabs through a mix of organic and inorganic growth.

"We are already the second largest player in the country. If you just see next year, we will bridge the gap significantly," Shah said. "If you look at the history of the leading players, they are growing at about 10%. So, by a combination of organic and inorganic growth, MHL can try to bridge the gap and go closer and closer to number 1."

The company expects to record a revenue of ₹1,300-1,350 crore in the current fiscal, while the leading player generates around ₹2,300-2,400 crore. By the next fiscal year, Metropolis aims to increase its revenue to ₹1,700-1,750 crore.

Recently, the company acquired Delhi NCR-based Core Diagnostics for ₹247 crore and Agra-based Scientific Pathology for ₹55-83 crore. These acquisitions are expected to increase the northern region’s revenue contribution from 8% to 13-14% by FY26.

"We will continue to focus on North India while we continue to go deep in West and South—tier-2 and -3 and smaller markets to retain our leadership," Shah said.

Infrastructure Expansion and Technology Investments

Metropolis has expanded from 300 to 750 towns and cities over the past two years and nearly doubled its network to 4,500 collection centres in four years. The company plans to further add 100 new towns, 800 more centres, and additional labs in FY26.

Over the next two years, Metropolis will invest ₹75-150 crore in capital expenditure to enhance high-end specialty diagnostics. "Our capex plans focus on expanding high-end specialty diagnostics by integrating advanced molecular platforms and AI-driven tools," Shah said.

She added, "We are strengthening our lab network, particularly in North and East India. We are investing in automation to streamline operations, improve turnaround times, and optimize cost structures, ensuring superior patient care and long-term scalability."