In Friday's intraday trading, shares of HealthCare Global Enterprise (HCG) surged by 4.58% to Rs 388.30 per share on the BSE. HCG had announced that it had acquired 51% of Vizag Hospital, with the remaining 49% to be acquired in two subsequent tranches; the acquisition amount was not disclosed. The cancer care hospital had stated in an exchange filing that it would purchase 34% and 15% of Vizag Hospital in the upcoming two tranches, in line with the terms of the share purchase agreement.
"Vizag Hospital, under the direction of renowned onco-surgeon Dr. Murali Krishna Voonna, owns and operates a comprehensive cancer care hospital in the city of Visakhapatnam, Andhra Pradesh, with a well-built hospital infrastructure, having 196 operational beds facility," the business stated in an exchange filing.
The company went on to say that this acquisition would increase its market posture, improve operational and clinical synergies, establish leadership in a highly desirable micromarket, and unlock capacity.
India’s leading cancer treatment provider is HCG, with its headquarters located in Bangalore. Driven by a physician-led initiative, it runs a network of eight day care centers, four multispecialty centers, and twenty-one cancer centers throughout the nation.
HCG achieved impressive financial results, with sales in Q4 FY24 reaching Rs 4,946 million, up 12% from Rs 4,415 million in Q4 FY23. Revenue reached Rs 1,912 crore for the entire FY24, up 13% from the previous year.
From Rs 8.4 crore to Rs 21 crore, Profit After Tax (PAT) increased by 154% year over year.
The company's stock pared some of its gains at 02:15 PM, and it was trading 1.52 percent higher at Rs 377.05 per share on the BSE. By contrast, the BSE Sensex was up 0.25 percent at 79,439 points in trading.
