Thailand's largest private hospital group, Bangkok Dusit Medical Services (BGH), plans to add six more hospitals this year, focusing mainly on Thailand.
BGHpresident Prasert Prasarttong- Osoth (left) and Mr Att press the button to open Building 3 at Phyathai Hospital 1 on Si Ayutthaya Road in Bangkok yesterday. PORNPROM SATTRABHAYA
Att Thongtang, chief executive of the Phyathai Hospital Group and Paolo Memorial Hospital Group, both under the BGH umbrella, said the parent has already added three hospitals, in Khon Kaen, Udon Thani and Chiang Mai provinces.
It also recently purchased Krungdhon Hospital Plc (KDH), while last month the group opened a clinic in Myanmar, with more set for Mandalay and Dawei.
The move is part of BGH's strategy of becoming the No.1 hospital group in Asia and third in the world within three years.
It is now the second-largest hospital group in Asia-Pacific by market capitalisation and fourth in the world.
The group is considering whether to acquire more hospitals or build them, but the focus will be border provinces.
BGH hospitals average 150-200 beds.
"This year we'll focus on investing in the domestic market so that our base is strong," said Mr Att.
He said it costs 1.5 billion baht to set up a new hospital compared with 1 billion for acquisition.
In 2010, the Health Network Group controlled by Wichai Thongtang sold the Phyathai and Paolo Memorial hospital chains to BGH for 12.6 billion baht. BGH also operates the Bangkok, Samitivej, BNH hospital chains.
Revenue for BGH last year reached 48.8 billion baht, up from 37.8 billion in 2011, for a net profit of 7.94 billion, up from 4.39 billion.
Krirkyos Jalayondeja, deputy director of Phyathai 1 Hospital, said revenue for Phyathai is expected to grow by double digits in 2013, while the percentage of foreign patients is expected to reach 15% this year and 20-25% in the next two years.
While 40% of BGH's patients are foreigners, the figure is 10% for Phyathai. Most of Phyathai's foreign patients are from Russia, followed by Cambodia, Myanmar and Vietnam.
Phyathai 1 Hospital opened its third building yesterday, raising its outpatient capacity by almost 50%.
Shares of BGH closed yesterday on the SET at 152.50 baht, up 50 satang, in trade worth 861 million baht.
About the author
- Writer: Nanchanok Wongsamuth
Position: News Reporter