Max Healthcare’s arrival in Lucknow in December 2023 eased concerns for many, like 51-year-old teacher Rekha Mishra. She previously traveled to Delhi for vital medical treatment. Max acquired Sahara Hospital, renaming it Max Super Speciality Hospital, Lucknow. This deal, valued at Rs 940 crore, brought advanced services like cancer care and cardiology closer to home.
This trend extends beyond Lucknow. Major private hospitals are expanding from big cities into smaller towns. They are meeting increased demand for specialized medical care. This growth is fueled by more people having insurance and affordable land availability.
Industry experts predict private hospital chains will add over 30,000 beds in the next five years. This expansion requires about Rs 35,000 crore in investment. The focus for this new wave of healthcare spending is shifting to cities outside the main metropolitan areas.
Max’s Lucknow purchase was part of a larger plan. The group is investing Rs 1,500–2,500 crore in the state. Some funds will upgrade their existing Lucknow facility, adding 265 beds. Another part will build a new 500-bed hospital.
In the south, KIMS Hospitals plans to add 4,000 beds with Rs 2,000 crore. Aster DM Healthcare is also adding over 2,100 beds, backed by Rs 1,900 crore. These chains are building facilities in state capitals and smaller cities. Patient demand in these areas exceeds current capacity.
Apollo Hospitals already has a strong presence in smaller cities. Nearly 30% of its hospitals are outside major hubs. It plans to add 4,372 beds in the next few years. New Apollo hospitals are planned for Gurugram and Pune. Expansions are also scheduled for Mysuru. The chain aims to open hospitals in Varanasi and Lucknow soon.
Dr. Suneeta Reddy, Managing Director of Apollo Hospitals, stated their total project cost exceeds Rs 8,000 crore. They have spent Rs 1,000 crore already. Another Rs 6,000 crore will be used. Funding comes mainly from their earnings. High occupancy and good profit margins show Apollo’s ability to grow effectively.
Manipal Hospitals is the latest chain to expand beyond large cities. It agreed to buy Sahyadri Hospitals in Pune. This acquisition will increase Manipal’s total bed capacity to 12,000. Its network will reach 49 hospitals nationwide. Manipal will gain 11 hospitals across several Maharashtra cities. This boosts their presence in the state. Dilip Jose, Manipal Health Enterprises CEO, noted their ongoing expansion with investor support.
Manipal also has over 1,400 beds being developed in Karnataka, Maharashtra, and Chhattisgarh. Jose mentioned interest in Kerala, Telangana, and the NCR region. They are also exploring opportunities in Eastern India.
Fortis Healthcare is also expanding geographically. It plans to add 2,000 beds through existing facility upgrades. This includes new towers in Noida, Faridabad, and Gurugram. The chain is also growing in Punjab.