MANILA, Philippines – The listed infrastructure conglomerate led by Manuel V. Pangilinan is planning to pour “billions of pesos” into building a hospital in Metro Manila that will specialize in childcare, as the group seeks to expand its footprint as the largest hospital operator in the country.
Metro Pacific Investments Corporation (MPIC) plans to double its hospital network in the next 5 to 10 years.
“Children’s hospital is one of the options we are looking at. Usually, that’s around 100 beds for starters… We are looking at Metro Manila,” Metro Pacific Hospital Holdings Incorporated president Augusto Palisoc Jr said last week.
Metro Pacific Hospital is a subsidiary of MPIC.
“There’s a huge market for children’s care. Take note that connected to that is women’s care,” MPIC chairman Pangilinan added in a media briefing in Makati City.
Metro Pacific Hospital currently operates 13 hospitals nationwide, the latest of which is the Dr Jesus C. Delgado Memorial Hospital in Quezon City.
In 5 to 10 years’ time, Palisoc said his group hopes to add 15 to 30 hospitals and up to 30 mega clinics in its network.
“We still need 25 to 30 hospitals in order for us to cover the entire archipelago,” Palisoc said.
“We’re in our 10th year. If we wanna double, it might take about the same time. But we’d like to be faster,” he added.
For the greenfield hospital, Palisoc said it is better for MPIC to tie up with developers due to the “huge investment.”
“We will probably consider partners. Any greenfield hospital is a huge investment. Basically it will be in the billions,” Palisoc explained.
Asked if Metro Pacific Hospital is considering an initial public offering (IPO) in the future, Palisoc replied: “Not really.”
“We still happen to have funds from our GIC (Government of Singapore Investment Corporation) investments. At the moment, there is no reason to [conduct an] IPO,” he added.
It was in 2014 when GIC invested P10.2 billion in MPIC to help grow its hospital subsidiary.
In 2016, Metro Pacific Hospital’s recurring net income jumped by 34% to P1.8 billion on increased contribution from its newly-acquired hospitals.
To date, MPIC has poured more than P12 billion of capital expenditures into the hospital industry, with approximately 2,700 beds throughout the country. – Rappler.com