Krishna Institute of Medical Sciences Limited (KIMS), a renowned name in healthcare management, has entered into an Operations and Management Agreement with Ushahkal Abhinav Speciality Hospital LLP, also known as Ushahkal Abhinav Institute of Medical Sciences (UAIMS Hospital) located in Sangli, Maharashtra. The agreement grants KIMS exclusive rights to provide medical services for both current and future operations of the hospital.
The agreement, which spans an initial term of 7 years with a potential extension of 3 years, allows KIMS to take full responsibility for the operational and managerial aspects of the hospital. The partnership aligns with KIMS’ strategy to enhance healthcare delivery in Maharashtra, particularly in managing and operating state-of-the-art quaternary care facilities.
UAIMS Hospital, founded in 2022, boasts a current capacity of 316 beds and is designed to accommodate future expansion to over 500 beds. It is situated on a sprawling 4-acre campus and has one of the highest floor-area-to-bed ratios in the region. Through this collaboration, KIMS is poised to boost operational efficiency and ensure top-tier medical services under the “KIMS-UAIMS” brand.
Under the terms of the agreement, KIMS will receive a 9% revenue fee based on the hospital’s net revenue, calculated in accordance with Indian GAAP (excluding indirect taxes and other income). This collaboration also enhances KIMS’ brand presence in the region, with the potential for future profit-sharing opportunities. KIMS has the first right of refusal to acquire profit-sharing interests from existing partners during the term of the agreement and holds the option to acquire majority rights to the profit-sharing arrangement.
