APOLLO HOSPITALS ENTERPRISE LIMITED

Apollo Hospitals Enterprise Limited (AHEL), incorporated as a Public Limited Company in the year 1979, is a leading private sector integrated healthcare company. The Company provides services, such as hospital and clinics services, a chain of pharmacy retail outlets and consulting services for commissioning and managing the specialty hospitals. It is primarily a hospital service provider, with its hospitals offering a range of services, including cardiology, oncology, nephrology, laboratory services, radiology and imaging, maternity and day care, general surgery, as well as diagnostic and emergency services. It also provides outpatient services, including consultation for a range of ailments, preventive health screenings, laboratory services, radiology and imaging services. With over 7,500 beds across 43 hospitals in India and overseas, its pharmacy business comprises of more than 650 outlets in India. Apart form India, AHEL partaking International operations includes Sri Lanka, Muscat, Dubai, India, Nepal, Tanzania, and Bangladesh.

Investment Rationale
· The company is planning to invest around Rs 1,800 crore over the next two years for building new hospitals. The hospital would fund the expansion plan through debt and equity. The hospital is planning to add 2000 beds over the next two years with an investment of Rs 1,500 to Rs 1,600 crore. The rest of Rs. 200 crore will be invested through Western Hospital Corporation, a joint venture between Apollo Hospitals and One Equity Partners, the private equity arm of the J P Morgan, in different projects across Mumbai. The JV partners are planning to build 600 bed hospital in Navi Mumbai and Thane.

· Apollo Hospitals has entered into a partnership with Quintiles Transnational Corp, a service provider in drug development, to open a trial unit in Hyderabad. The unit would allow customers additional options to complete integrated Phase-I programmes across multiple geographies at this pivotal stage in medical research. Scheduled to open in the first quarter of 2010, the new unit would evaluate compounds developed both in India and in other countries.

· Apollo Hospitals has entered into an agreement with US-based Anthem Well Point through its subsidiaries for treating patients recommended by the insurance company. As per the agreement, Anthem Well Point will initially send the employees of Serigraph Inc, a corporate client of Anthem Well Point, to Apollo Hospitals in India. Apollo will cover 700 members of the US-based group and their dependents.

· The Apollo Hospitals in Bangalore and Delhi, have been accepted into Companion Global Healthcare’s network of international hospitals, meaning Companion Global Healthcare will arrange travel, set appointments and provide other services to its individual clients and U.S. employer group members who choose treatment at either facility. Both hospitals are part of India’s Apollo Hospitals Group.