Health Strategy

June 05, 2008 (LBO) – The Lanka Hospitals Corporation, which own's Colombo's Apollo Hospital, said it is targeting medical tourism in a big way, along with cosmetic surgery, and hopes to turn profitable in the next financial year. The hospital, whose ownership changed in October 2006 with tycoon Harry Jayewardena buying a controlling stake, said a rights issue of shares helped settle debt and reduce interest costs.

"We're very confident of turning around this establishment," its chief executive Lakith Peiris said.

"The hospital is now operating at full capacity with the number of surgeries, procedures, investigations and out-patients increasing. Definitely by the 2008/09 financial year we're very confident of making profits."

The firm's chairman Ajit Jayaratne said the hospital had been making losses but interest costs had been reduced after the rights issue.

"The one billion rupee rights issue was used to settle all our debts. So we have been able to reduce interest charges considerably," he told a news conference Wednesday.

Peiris said the hospital has treated about 1,000 foreign patients, mostly Maldivians and that it wanted to encourage medical tourism.

"We want to sign up with foreign i