Ayala set to build, acquire more hospitals
Paolo Borromeo
—CONTRIBUTED PHOTO
MANILA, Philippines — Ayala Corp. (AC) is gearing up to transform its health business into a $2-billion enterprise in the next decade, or by 2035, by building more facilities and acquiring hospitals across the country.
Paolo Borromeo, AC Health president and CEO, told reporters in Makati on Friday the company was set to spend about P6 billion to P8 billion in the next three years to fuel organic growth by building its own facilities.
By 2028, the Ayala-led company wants to have an ecosystem comprising 1,150 retail pharmacies, 300 clinics and 10 hospitals.
AC Health’s current portfolio covers 880 pharmacies under the Generika Drugstore and St. Joseph Drug brands, 236 corporate and multispecialty clinics and six hospitals under Healthway Medical Network.
READ: Ayala’s 6 hospitals turn to green power
Borromeo said they would be purchasing hospitals to accelerate growth, pitching potential acquisitions in the provinces.
“Capital-wise, we are good over the next two or three years. For more acquisitions, we will look to raise funding for that,” Borromeo said.
“What we’re building is a health-care group designed for the long haul,” he added.
By 2035, the company envisions to serve one in every five Filipinos.
Last year, the Ayala health arm grew its revenues by 10 percent to P9.4 billion.
The Healthway Medical group ended 2024 with a 22-percent top-line growth, which was above the industry average of 8 percent.
Strong performance
Borromeo said their core net income has been positive since 2023, signaling a strong performance for the business unit.
“For us, it is really getting to the next stage where our earnings—core or not—are positive. Hopefully this year, we get to that. If not, [then] next year,” he said.
Last year, AC Health opened Healthway Cancer Care Hospital (HCCH), the country’s first cancer specialty hospital. It has a bed capacity of 30 that can be expanded up to 106.
HCCH handled 3,200 patients last year, below the target of 10,000.
