RJ Corp to invest Rs 100 cr in 18 months in healthcare segment

New Delhi, July 12 (UNI) RJ Corp today announced its foray into the healthcare space with a joint venture with US-based Cryobanks International, besides pumping in Rs 100 crore in 18 months to set up seven cord blood stem cell storage facilities across India.

''The joint venture, Cryobanks Interantional India Private Ltd, is mostly controlled by RJ Corp. It is a technical collaboration and royalty based agreement,'' RJ Corp Chairman Ravi Jaipuria told reporters here.

The company has set up its first facility in Gurgaon with an investment of Rs 10 crore. It will incur Rs 100 crore in all to set up six more centres. Whole of the investment has been made by RJ Corp, Mr Jaipuria said.

The Gurgaon facility will be functional soon after completion of the necessary formalities with the drug authority. The other facilities will be based in major towns including Mumbai, Chennai and Kolkata.

Cryobanks International President and CEO Dwight Brunoehler said, ''India is an emerging market for us owing to its ethnic diversity and massive population base. Stem cell storage market is estimated at 2 billion dollars worlwide.'' Mr Jaipuria said the JV is open to tie-ups with clinics and hospitals and is in talks with the major players in the field.

It will concentrate on Delhi and NCR for the initial 3-4 months and susequently spread its base to other parts of the country.

On being asked about the group's other initiatives in the healhcare segment, Mr Jaipuria said, it might venture into nurses training institutions.

RJ Corp, is a Rs 1200 crore group in diversified areas of food and beverage, education, hospitality, and real estate.

The group will also invest Rs 150 crore for adding 300 franchisee Costa Coffee outlets all over the country, besides setting up 10 more star hotels.

UNI CS PV PM1611