SET-listed Bangkok Chain Hospital Plc (BCH), the operator of Kasemrad Hospital and World Medical Center, is in talks to acquire three or four hospitals upcountry after its board approved a 5-billion-baht budget for expansion.
Chairman and chief executive Chalerm Harnphanich said BCH plans further business growth, particularly on the outskirts of Bangkok and in big cities upcountry, despite the prolonged political unrest.
BCH has financial flexibility after the board approved the budget for potential acquisitions. The company's debt-to-equity ratio remains a low 0.75.
BCH forecasts 2014 revenue growth of 15% from about 5 billion baht last year.
"We have seen very little impact from the ongoing protests in Bangkok because most of our hospitals are on the outskirts of the capital and big cities," Dr Chalerm said.
BCH aims to operate two more branches in the northern part of Bangkok later this year after acquiring assets from local hospital operators at the end of 2013.
Some 68% of BHC's revenue is from the high-end sector with payment in cash, with the rest from patients who receive treatment under the Social Security Fund.
Most of BCH's foreign patients are expatriates who live and work in Thailand. Foreign patients generate 20% of total revenue.
BCH hopes to attract more patients from Indochina. The group recently acquired a local hospital in Chiang Rai to provide additional medical services to patients from Myanmar.
"From now on, these countries will be large revenue generators because Thai medical services have become increasingly popular among patients from neighbouring countries," Dr Chalerm said.
Last Friday, BCH signed a partnership deal with Family Mandalar, the operator of a local private hospital in Myanmar, to exchange technical and medical expertise. Family Mandalar runs hospitals in Mandalay and Taunggyi and is developing a large hospital in Yangon.
Shares of BCH closed Friday on the Stock Exchange of Thailand at 6.85 baht, down five satang, in trade worth 31.3 million baht.