New Delhi [India], Sep 2 (ANI
): World's largest dialysis products and services provider Fresenius Medical Care announced its acquisition of 85 percent of equity interest in Indian dialysis group Sandor Nephro Services from a group of investors.
This acquisition provides an opportunity to blend the global expertise of Fresenius Medical Care and the unique domestic business model of Sparsh
which will help the brand create the largest international dialysis chain spread across India. The new entity will operate under the 'Nephrocare' brand of Fresenius Medical Care.
Established in 2011, Sandor Nephro Services is India's second largest dialysis care provider and operates a network of more than 50 dialysis centers across the country.
With the acquisition, Fresenius Medical Care will clearly strengthen its core business in one of the fastest growing economies of the world.
Sandor Nephro Services is expected to generate revenue of around USD three million in full year 2016. Fresenius Medical Care expects the investment to be accretive in 2017 on earnings after tax.
FMC India via its NephroCare
Service entities aims to be an active long-term partner for the patients, healthcare professionals and the government in order to elevate the dialysis care in India.
"With the acquisition, we are opening a new chapter for our dialysis business in India. We have been in India for more than 15 years primarily with our product portfolio and we are now taking the next important step. This is a unique opportunity to immediately become one of the major players in the dialysis service market. We are very positive with the initiatives taken by the Indian government to address the unmet needs of dialysis patients all over India. We are committed to be a partner to the government to make high-quality dialysis treatments available to chronically ill dialysis patients," said Senior Vice President - Central Asia Pacific, Jan Walter.
"We are targeting to become the largest pan-India dialysis provider through continuous expansion in tier II and III geographies and tie-up with corporate chains and tier I hospitals. Fresenius Medical Care will also establish 'Centres of Excellence' by partnering with leading medical institutions to offer and showcase state-of-the-art dialysis standards and technology. This acquisition will provide us with the necessary economies of scale to justify investments in manufacturing under the 'Make in India' initiative," Managing Director India, Punit Kohli.
India's economy is characterized by a rising middle class and a healthcare spending which grows at an average rate of 12 percent per year. According to estimates, within India's population of around 1.3 billion people, there are about one million people suffering from chronic kidney disease. A major part of this patient base still has no sufficient access to dialysis treatments.
"We are very pleased to join the Fresenius Medical Care
Group. After building up one of the most successful dialysis chains in India
, we now have a strong partner on our side to further grow the business," said Saurav Panda who co-founded Sandor Nephro Services together with Gaurav Porwal. Both founders committed themselves to stay with the company for at least three years. (ANI