Rainbow Children’s Medicare Limited IPO

Rainbow Children’s Medicare is a leading multi-specialty pediatric and obstetrics and gynecology hospital chain in India. It has 14 hospitals and 3 clinics in six cities, with a total bed capacity of 1,500 beds, as of December 31, 2021.

The company’s core specialties are pediatrics, which includes newborn and pediatric intensive care, pediatric multi-specialty services, pediatric quaternary care (including multi organ transplants); and obstetrics and gynecology, which includes normal and complex obstetric care, multidisciplinary fetal care, perinatal genetic and fertility care.

Rainbow follows a doctor engagement model whereby most of its core specialists work exclusively at our hospitals on a full-time retainer basis. This model ensures the specialists are available 24/7 on a roster basis at their hospitals, which is important for children’s emergency, neonatal and pediatric intensive care services. As of December 31, 2021, we had 641 full-time doctors and 1,947 part time/visiting doctors.

In its red herring prospectus, the company said that it may seek to expand its hospital network through acquisition of brownfield assets or development of greenfield assets depending upon the location of the hospital and the time period required to complete the project.

The company plans to increase the scale of their reach to patients through a robust digital ecosystem. During peak coronavirus time, i.e., between April 1, 2020 and March 31, 2021, Rainbow conducted over 125,000 outpatient video consultations through its video consultation platform.

The company believes that there is a potential to establish a hybrid model of healthcare delivery, which allows them to provide outpatient consultations through virtual means and subsequent inpatient admissions, if needed, at its network hospitals. The company is in the process of building a digital healthcare delivery solution that enables healthcare delivery irrespective of geography.