Washington D.C., Sept. 28, 2005
—The International Finance Corporation, the private sector arm of the World Bank Group, recently made an equity investment for a 1.3 percent shareholding in Apollo Hospitals Enterprise Limited, the holding company of India’s largest private integrated health care group.
Founded in 1979, Apollo is recognized as a leader in Asia for the management and delivery of high-quality tertiary health care. Apollo’s primary business is hospital operation and management. The company owns 16 and manages 24 hospitals in India, Sri Lanka, Bangladesh, the Middle East, and Africa, with a total bed capacity of over 5,000. Apollo has a network of 206 retail pharmacies in India and also provides health care management consulting services. The company recently raised $65 million equity through a global depository receipt issue, the proceeds of which will be used to promote domestic and regional growth.
Guy Ellena, director of IFC’s Health and Education Department, noted, “This investment is in line with IFC’s key strategic objectives in the health sector and will bring together Apollo’s experience in offering high-quality health care in emerging markets with IFC’s strategy of investing in companies that are positioning themselves regionally or globally. We look forward to supporting Apollo’s efforts in mobilizing capital and other resources to bring international clinical, corporate, and environmental standards to India and other developing countries.”
Iyad Malas, IFC director for South Asia, added, “Our objective with this investment is to build on our prior experience with Apollo and establish a strategic long-term partnership. We hope to add value and support Apollo in raising standards of health care in India and other emerging markets. Over the years, Apollo has developed significant health care management experience and has a genuine interest in establishing a presence in other developing countries.”
The International Finance Corporation, the private sector arm of the World Bank Group, promotes sustainable private sector investment in developing and transition countries, helping to reduce poverty and improve people’s lives. IFC finances private sector investments, mobilizes capital in the international financial markets, helps clients improve social and environmental sustainability, and provides technical assistance and advice to governments and businesses. Its 178 member countries provide its share capital and collectively determine its policies.
From its founding in 1956 through FY05, IFC has committed more than $49 billion of its own funds and arranged $24 billion in syndications for 3,319 companies in 140 developing countries. IFC’s worldwide committed portfolio as of FY05 was $19.3 billion for its own account and $5.3 billion held for participants in loan syndications. For more information, visit
www.ifc.org
.
