Low-cost hospital satellite centres / care units in non-metros

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Low-cost hospital satellite centres / care units in non-metros
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Health Care
Health Care Providers
Business Model Description

Technology-enabled, asset-light, scalable satellite centres or small care units to serve under-penetrated lower-tier cities and villages by providing quality healthcare services that are accessible and affordable.

Expected Impact

Improvement in access to quality and affordable healthcare by populations in peri-urban and rural areas through better medical infrastructure and care.

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
10% - 15% (in ROI)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Medium Term (5–10 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
> USD 1 billion
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
For the healthcare sector, data from Praxis Global Alliance, 2019 shows that early stage investments stood at USD 41 million, growth stage investments stood at USD 359 million and late stage investments stood at USD 1,486 million. (7.7)
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Good health and well-being (SDG 3)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Sustainable Cities and Communities (SDG 11)
Sector Sources
  • (2.1) https://www.thelancet.com/journals/lancet/article/PIIS0140-6736(18)30994-2/fulltext#seccestitle190 (2.2) https://niti.gov.in/sites/default/files/2019-12/SDG-India-Index-2.0_27-Dec.pdf (2.3) https://in.one.un.org/page/sustainable-development-goals/sdg-3-2/ (2.4) https://data.worldbank.org/indicator/SH.MED.PHYS.ZS (2.5) https://data.worldbank.org/indicator/SH.XPD.GHED.GE.ZS?view=chart (2.6) https://www.financialexpress.com/economy/india-spending-more-on-healthcare-now-but-yet-not-as-much-as-others-heres-how-much-us-china-spend/1922253/ (2.7) https://data.worldbank.org/indicator/SH.XPD.OOPC.CH.ZS (2.8) https://www.irdai.gov.in/ADMINCMS/cms/whatsNew_Layout.aspx?page=PageNo3729&flag=1 (2.9) https://bmjopen.bmj.com/content/8/5/e018020#DC1 (2.10) https://www.indiaoppi.com/wp-content/uploads/2019/12/Report-on-healthcare-access-initiatives-For-web.pdf (2.11) https://www.nhp.gov.in/nhpfiles/national_health_policy_2017.pdf (2.12) Stakeholder Consultations (2.13) https://www.ibef.org/industry/healthcare-india.aspx
IOA Sources
  • (4.1) https://www.techneconhealthcare.com/blog/establishing-hospitals-in-tier2-3.html (4.2) http://www.businessworld.in/article/Providing-Affordable-Rural-Healthcare-Ecosystem-In-India-Is-Need-Of-The-Hour/25-05-2019-170968/ (4.3) https://www.newsclick.in/why-access-healthcare-bigger-problem-quality-india (4.4) https://www.brookings.edu/blog/up-front/2020/03/24/is-indias-health-infrastructure-equipped-to-handle-an-epidemic/ (4.5) Stakeholder consultations (4.6) http://ficci.in/spdocument/23111/Re-engineering-Indian-healthcare-2.0_FICCI.pdf (4.7) https://www.statista.com/statistics/974022/apollo-hospitals-occupancy-rate-india/ (4.8) https://www.statista.com/statistics/974028/fortis-healthcare-occupancy-rate-india/ (4.9) https://health.economictimes.indiatimes.com/news/hospitals/why-corporate-hospitals-are-changing-hands-in-india-/72818662 (4.10) https://www.ibef.org/industry/healthcare-india.aspx (4.11) https://www.investindia.gov.in/sector/healthcare (4.12) https://www.expresshealthcare.in/news/hospitals-occupancy-drops-from-60-70-per-cent-in-weeks-to-25-30-per-cent-due-to-covid-19-icra/419283/ (4.13) https://www.livemint.com/Companies/NtCZyqIawezdShYaFh81HJ/PE-funds-willing-to-wait-longer-for-returns-in-healthcare.html (4.14) https://www.financialexpress.com/economy/ayushman-bharat-how-worlds-largest-healthcare-scheme-fared-in-first-150-days/1491320/ (4.15) https://pmjay.gov.in/about/pmjay (4.16) https://health.economictimes.indiatimes.com/news/policy/health-ministry-issues-guidelines-for-notifying-covid-19-in-private-facilities/74692479 (4.17) https://www.praxisga.com/press-releases/praxis-global-alliance/praxis-global-alliance-recent-report-healthcare-investor-sentiment-spotlight-2019-uncovers-investor-outlook-and-value-creation-opportunities-in-india (4.18) S&P Capital IQ data (4.19) https://www.thehindubusinessline.com/news/hospitals-see-healthy-prospects-in-tier-ii-cities/article28067158.ece