Zydus to acquire Columbia Asia's hospital in Ahmedabad: Report
AHMEDABAD: Zydus Hospitals is ready to expand its services in Ahmedabad by acquiring the acquiring the Columbia Asia’s hospital in the city.
The acquisition is the strategic one for Zydus Hospitals marking the exit of the multinational hospital chain operator from Ahmedabad.
TOI has reported that Pharma veteran Pankaj Patel-led Zydus Hospitals is set to acquire Columbia Asia's hospital in the city and the market sources has pegged the transaction value below Rs 100 crore.
Speaking with TOI sources said, "The deal is almost done. A formal announcement of the acquisition may take a few months as both the players are busy completing takeover formalities."
Speaking about the deal, representatives of the Columbia Asia Hospitals India Private Limited told TOI, "The management of Columbia Asia has taken a decision to sell its Ahmedabad property. Currently, it is in a state of advanced negotiations with another healthcare provider."
Columbia Asia operates a 100-bed hospital at Hebatpur in Thaltej, off SG Highway spreading over 1 lakh square feet and approximately Rs 130 crore had been invested for constructing the facility which was launched in 2014. Whereas, Zydus operates a 650-bed hospital.
“The acquisition is a strategic one for Zydus Hospitals as the healthcare major now looks to expand its hospital business,” the sources told TOI.
Columbia Asia has 30 medical facilities across Asia, Malaysia, India, and Indonesia. It started operations in India in 2004. The hospital chain has 11 other facilities in India.
According to recent media reports, management of Columbia Asia has been trying to sell off its Ahmedabad property for some time now.