The Asian Development Bank (ADB) has signed a Rs 150 crore ($18.1 million) cheque in debt financing to Cygnus Medicare Pvt. Ltd to expand the latter's services in northern India.
Under the agreement, ADB's financing will support Cygnus in establishing up to six new hospitals in tier-II and tier-III cities, as well as strengthening and upgrading existing facilities by adding specialty departments and new beds. The expansion is projected to increase bed capacity from 1,622 to 2,560 by 2026.
“Cygnus’ mission to provide healthcare services where they are needed most aligns with ADB’s focus on improving health care infrastructure particularly in underserved states in India,” said Suzanne Gaboury, director - general for private sector operations, ADB.
In addition to hospital expansion, the financing will help Cygnus install rooftop solar power generation systems at its hospitals.
“India faces a geographic inequity in the distribution of healthcare, with most private hospitals concentrated in tier-I cities. This makes it challenging for people in tier-II and III cities to access quality preventive and curative health services and poses long-term risks to public health,” Gaboury added.
Established in 2011, Cygnus operates 20 multi-speciality hospitals in 18 Indian cities. Since its inception, Cygnus has supported the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) programme, launched by the government in 2018.
The initiative focuses on reducing out-of-pocket costs, enhancing social protection for disadvantaged households, and leveraging the private healthcare sector.
“Our vision is aligned with the government’s healthcare mission, having pioneered the implementation of AB-PMJAY,” said Probal Ghosal, Cygnus chairman and managing director.
“By partnering with ADB, we will be able to further strengthen our network of hospitals and build upon our focus on environmental, social, and governance practices in our growth plans,” he added.