IFC to invest Rs3bn in Max Healthcare

Private sector arm of the World Bank, IFC will invest Rs three billion in Max Healthcare over the next four years through purchase of equity and preference shares to fund the company's capacity expansion.

"IFC's Rs three billion investment in Max Healthcare will include Rs 500 million of common equity and Rs 2.5 billion of preferred, cumulative and redeemable equity," an IFC release said.

It said as a part of the proposed expansion, Max Healthcare would add 452 beds to its existing 765-bed capacity. This would include adding 268 beds of the Patparganj hospital in Delhi, a 100-bed secondary and tertiary hospital in Dehra Dun and a new 84-bed tertiary in Saket, Delhi.

"The proposed investment is aligned with IFC's strategy to invest in health care, one of India's largest service industries. By providing long-term, local currency financing, we are further developing a market for private health care facilities," IFC director south Asia Paolo M Martelli said.

The projects are expected to create 4,500 jobs in the medical industry, the release added.