Fortis Signs Definitive Agreements to provide Healthcare Services to a 400+ bedded Super Specialty Hospital in Ashok Vihar, New Delhi
Fortis Healthcare Limited (“FHL” or “Fortis” or the “Company”), amongst India’s leading healthcare delivery companies, today announced signing of definitive agreements with Seth Sunder Lal Jain Charitable Eye Hospital, a society registered under the Societies Registration Act, 1860 (Punjab Amendment) (“Society” or “SLJ Society”) to provide healthcare services to a 400+ bedded super specialty hospital at Ashok Vihar, New Delhi. The hospital is expected to commence operations in 3-4 years, subject to necessary approvals. The agreements have been executed by FHL’s wholly-owned subsidiary, Fortis Hospotel Limited (“FHTL”).
Under the Healthcare Services Agreement (“HSA”), FHTL has long term exclusive rights to provide specified inpatient healthcare services and specialized equipment such as Cath Lab, LINAC, PET-CT, Surgical Robot, etc. in consideration of an agreed service fee to be paid by SLJ Society. FHTL shall also bring-in necessary clinical manpower for provision of such healthcare services. The HSA has a committed term of 29 years, with an option to extend for further period on mutually agreed terms.
The hospital will be owned, operated and managed by SLJ Society and Fortis will be providing the healthcare services to SLJ Society. The land, building and the associated civil and certain medical infrastructure will be owned and developed by the SLJ Society itself. For the purposes of construction, upgradation and operation of the Hospital, FHTL will also provide a loan to the Society in a phased manner over the next 3-4 years basis construction progress.
The hospital will be developed by SLJ Society as a state-of-the-art facility on ~3.1 acres of land in Ashok Vihar, North-West Delhi. With a planned capacity of 400+ beds, which will be operationalized in phases, the hospital will be strategically located in one of Delhi’s key populous districts with a dense catchment in surrounding areas as well.
The hospital will offer comprehensive and high-quality tertiary, and quaternary healthcare services across key specialties, such as Oncology, Neurosciences, Cardiac Sciences, Gastroenterology, Orthopaedics, Renal Sciences, multi-specialty robotic surgeries and Transplants. It will also fulfil applicable regulatory and social obligations by providing free inpatient and outpatient treatment to eligible patients under the EWS (Economically Weaker Sections) category.
Dr Ashutosh Raghuvanshi, MD & CEO of the Company, said, “the signing of the Healthcare Services Agreement with SLJ Society marks an important collaboration aimed at enhancing access to quality healthcare in North-West Delhi, an underserved micro-market characterised by a dense residential population. Under this arrangement, the hospital will be owned, operated and managed by SLJ Society, with Fortis providing healthcare services pursuant to the agreement.
Pursuant to this, Fortis’ services would extend to more than 3,400 beds across the Delhi – NCR region going forward. We remain focused on leveraging our clinical expertise and healthcare capabilities through strategic collaborations to support improved patient outcomes and access to high-quality care.”