IndiaRetailBiz

MedPlus PathLabs, a fully-owned subsidiary of Madhukar Gangadi-led MedPlus Health Services Limited, is venturing out to set up diagnostic laboratories across the country. MedPlus already operates a Clinical Reference Laboratory (CRL) at Hyderabad.

MedPlus, will initially set up five regional investigation labs at Pune, Chennai, Bangalore, Vizag and Vijayawada. These, state of the art, labs fitted with latest diagnostic equipment and facilities will entail an investment of Rs. 20 crore.

With a view to provide quick and efficient service, the company has decided to adopt a hub and spoke strategy for setting up these laboratories. These labs are designed to process a large part of samples collected by retail pharmacy outlets of MedPlus and its affiliates.

MedPlus is currently operating around 400 pharmacies, most of which are located in Andhra Pradesh. It has recently begun spreading out in Gujarat.

To support its diagnostic business, the company will appoint trained lab technicians, who while assisting in collection of customer samples will also help in their proper storage and despatch to regional lab centres.

The diagnostic market estimated at around Rs 500 crore is highly localised and fragmented. Barring few exceptions at corporatisation like SRL Ranbaxy, Metropolis, Dr Lal’s Pathology, Pathnet India, Wellspring and Thyrocare, almost entire diagnostic market estimated at around US$ 500 million is under the control of specialist medical doctors, who have set up one or two pathlabs within the city of their residence.

Corporatisation and modernisation of this business should bring about a welcome change in business practices of this vital business that impacts lives of millions of patients who are required to undergo diagnostic checks frequently.