By Mary Ann Ll. Reyes (The Philippine Star) Updated March 05, 2010 12:00 AM
MANILA, Philippines - Metro Pacific Investments Corp. (MPIC) is looking at acquiring at least four more hospitals as it expands its healthcare business to other areas of the country.
MPIC chairman Manuel V. Pangilinan told The STAR that they are considering to buy one in Bacolod to cover the Visayas area, one in Bicol for Southern Luzon, one in Northern Luzon, and another in Central Luzon, particularly Pampanga.
Asked whether MPIC will take the lead in promoting medical tourism to the country, Pangilinan said this is a big possibility.
Medical Doctors Inc. (MDI), which is 34.79 percent owned by MPIC, owns and operates Makati Medical Center. MPIC is also the single largest shareholder of Davao Doctors Hospital (DDH).
Meanwhile, the wholly-owned subsidiary of MDI, Colinas Verdes Hospital Management Corp. (CVHMC), is now managing and operating the San Juan-based Cardinal Santos Medical Center.
MDI registered a consolidated core income of P384 million, which includes the full year’s operations of CVHMC from only four and a half months in 2008, compared with P218 million the previews year.
The Roman Catholic Archbishop of Manila awarded a 20-year operating contract to CVHMC beginning March 1, 2009 for the management and operation of Cardinal Santos Medical Center.
Core income attributable to MPIC from the consolidated results of MDI reached P128 million last year from P73 million a year ago. MPIC officials said the increase in core contribution of MDI resulted from higher occupancy for the hospitals and increase in bed capacity from 655 to 707 due to the renovation work completed in Makati Medical Center.
On Oct. 21, 2009, MPIC subscribed to an additional 139,983 shares of MDI for a total subscription of approximately P160 million, thereby raising MPIC’s ownership in MDI from 32.39 percent to 34.79 percent.
MPIC also reported that the core net income of Davao Doctors Hospital increased 23 percent to P139 million for 2009 as against P120 million in 2008.
DDH contributed P46 million in core profitability to MPIC for the period compared with P37 million the prior year.
Officials said the increase was due to the excellent results of its hospital operations as a result of new equipment, services and higher bed occupancy of 204 for the year compared with 192 the prior year. This more than made up for the reduced enrollment and profitability of its wholly-owned subsidiary, Davao Doctors College.
MPIC equity accounted the results of DDH starting June 2008 and now owns 34.85 percent of DDH.
________________________________________________________________
