IPO Central

Vijaya Diagnostic IPO description – Vijaya Diagnostic Centre is the largest integrated diagnostic chain in southern India, by operating revenue, and also one of the fastest-growing diagnostic chain by revenue for FY2020. Its network includes 80 diagnostic centre and 11 reference laboratories across 13 cities and towns in the states of Telangana and Andhra Pradesh and in the National Capital Region and Kolkata. During FY2021, the company derived 96.2% of its revenue from operations from its core geographies, Hyderabad and rest of Telangana and Andhra Pradesh.

The company offers a comprehensive range of approximately 740 routine and 870 specialized pathology tests and approximately 220 basic and 320 advanced radiology tests that cover a range of specialties and disciplines, as of 31 March 2021. Its test menu includes pathology tests ranging from basic biochemistry and clinical pathology to cytogenetics and high-end molecular diagnostic tests, and radiology tests ranging from basic echocardiograms, X-rays and ultrasounds to advanced radiology tests including computerised tomography (“CT”) scans, magnetic resonance imaging (“MRI”) scans, single photon emission computed tomography (“SPECT”) and advanced positron emission tomography CT (“PET CT”).

Vijaya Diagnostic Centre has implemented a ‘hub and spoke’ model, whereby specimens are collected across multiple locations within a catchment area or a region for delivery to its reference laboratories for diagnostic testing. This model provides greater economies of scale and enhances consistency of its testing procedures and results. As of 31 March 2021, iits operational network consists of diagnostic centre network of (i) a flagship centre located in Hyderabad, which is its main ‘hub’ and equipped to conduct all of pathology specimens collection, basic and advanced radiology tests; (ii) 19 hub centres, which are equipped to conduct all of pathology specimens collection, basic radiology tests and certain advanced radiology tests; and (iii) 60 diagnostic centres, which are equipped to conduct a majority of pathology specimen collection and certain basic radiology tests. Its laboratory network includes (i) a national reference laboratory co-located with its flagship centre; and (ii) 10 reference laboratories co-located with certain hub centres and diagnostic centres.

Promoters of Vijaya Diagnostic Centre – Dr S Surendranath Reddy