CIPACA to expand 24/7 ICU services nationwide through a franchise model

BL Chennai Bureau Updated - August 08, 2024 at 06:48 PM.
Dr Raja Amarnath (second from left), Founder and CEO of CIPACA and Jitender S Mehrok (third from left), Founder and CEO of Abtta GTM during the signing of the collaboration.

CIPACA (P) Ltd, a leading provider of rural ICU services, has announced the next phase of its expansion, aiming to establish and operate 24/7 ICU & emergency care facilities in semi-urban and rural hospitals across the country by partnering with franchisees. The company stated that its franchise model would not only offer financial returns but also elevate rural healthcare.

Headquartered in Chennai, CIPACA received ₹2 crore in funding a few months ago from the SAMRIDH Healthcare Blended Finance Facility, an innovation and financing platform supported by USAID and implemented by IPE Global. Over the past five years, CIPACA has assisted hospitals in rural and semi-urban areas in establishing and operating 24/7 ICU and emergency care services, operating these ICU services in hospitals across a dozen Indian States.

CIPACA’s mission is to establish at least one high-quality ICU per taluk. With over 5,400 taluks in India, many lacking quality healthcare, particularly ICU services, patients often must travel to the nearest town or city for emergency care, missing the crucial “Golden Hour.”

The healthcare firm is seeking franchisees to invest in ICU operations in small towns and rural areas, leveraging its expertise in this space. It has also partnered with Abtta GTM, a business expansion specialist, to recruit franchisees and expand ICU services across rural India, according to a statement.

“We believe franchising can rapidly scale our efforts to expand 24/7 ICU services nationwide while minimizing capital needs. We hope this will help rural India access quality ICU care at a lower cost with CIPACA’s support. This is a lucrative opportunity for both aspiring and seasoned entrepreneurs who want to invest while contributing to society,” said Raja Amarnath, Founder and CEO of CIPACA.

With its partnership with Abtta GTM, CIPACA aims to establish at least one 24/7 ICU facility in each taluk over the next five years. “This collaboration aims to expand critical care access and establish CIPACA as a leader in rural healthcare, where 70% of our population resides,” said Jitender S. Mehrok, Founder and CEO of Abtta GTM.

A CIPACA ICU in a rural hospital treats up to 100–150 patients per month at one-fourth the cost of a city hospital ICU, saving approximately ₹3-5 lakhs per patient. This enables hospitals to handle more serious cases, including surgeries and other procedures. When fully utilized, this intervention can result in annual savings of several hundred crores for the local community around each ICU facility, according to Amarnath.

“Several people have shown interest in this franchise model for setting up rural ICUs. We are in talks with them,” he added.

Published on August 8, 2024 13:18

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