HCL enters healthcare services segment

HCL Corp has announced its diversification into the fast-growing healthcare services market, saying it would start by setting up a network of outdoor patient clinics.

HCL Corp is the parent company of IT services exporter HCL Technologies and hardware and systems integrator HCL Infosystems. It has created an equity pool of Rs 1,000 crore to invest in the business, which will be called HCL Healthcare.

HCL Healthcare will eventually operate across the healthcare services spectrum, from clinics and hospitals to diagnostics and analytics.

However, on Thursday, it announced only its first subsidiary, HCL Avitas, which will set up multi-specialty clinics. The company is already running two clinics in Noida and Gurgaon.

Harish Natarajan, CEO, HCL Avitas, said the company will employ 1,500 clinicians over the next five years and aims to treat 50,000 patients daily.

"We will target India's large middle class," Natarajan said, adding that its heavy use of technology, from electronic healthcare records that can be accessed by patients and their relatives to video consultations with specialists, would set HCL's venture apart.

HCL Avitas has partnered with John Hopkins Medicine, a $6.7 billion American health enterprise, for consultation on training, clinical best practices, quality, safety standards and getting a second opinion, and other matters.
 
"Education, healthcare and technology will be the key enablers of our country's future progress. Today is a day of immense joy for me as we announce our entry into healthcare, an area of paramount national importance," Founder and Chairman of HCL Shiv Nadar said.

The Indian healthcare industry is estimated at around $65-75 billion. According to PwC, the industry, growing at a CAGR of 15 per cent, is expected to be around $250 billion by 2020.