MAC Hospitals issues debt to build five hospitals

Published July 22nd, 2021

Hospitales MAC issued 1.5 billion pesos in stock certificates on the Bolsa Institucional de Valores (BIVA) to expand its network of hospitals in Mexico.

They currently have 10 hospitals in Aguascalientes, Aguascalientes Norte, Celaya, Irapuato, Guadalajara, Guadalajara Bernardette, Puebla, Mexico City (Periférico Sur), San Miguel de Allende and Mexicali. And with the debt issuance, it will be able to refinance some of its liabilities and continue with its expansion plans.

The five new hospitals will be located in Los Mochis, Querétaro, La Viga in Mexico City, León and the fifth hospital is yet to acquire the land for its construction.

At a press conference, Miguel Khoury, CEO of Hospitales MAC, said that the construction of the five new hospitals will allow them to increase their revenues.

This year, the hospital chain expects to close with sales of 3 billion pesos, a figure higher than the 1.78 billion it obtained in 2020.

“We believe that next year, with five new large hospitals plus two new hospitals that just opened this month in Aguascalientes and Tampico, plus the other five, will give us a very big boost in sales.”

“We think that next year we could reach sales of 4.2 billion pesos and we could reach 5 billion pesos in 2023,” Khoury explained.

Hospitales MAC’s patient care potential is 65 million people, from Class A and B to D+.

Khoury commented that due to the pandemic they had additional billing for Covid patients, but other types of services such as the spine, knee, or hip surgeries, which can be delayed, and plastic surgeries were not billed.

“This year there is still a lot of fear of going to the hospital, so we won’t have a recovery in the number of inpatients or admissions until mid-2022 or 2023,” he detailed.

MAC Hospitals adapted its hospitals to serve Covid patients.

Accesses were separated to divide people admitted for respiratory problems from the rest of the patients.

“We currently have 36 hospitalized Covid patients, less serious, apparently the Delta variant is less lethal although it is more contagious and the vaccination system has worked. We do not have an avalanche of new patients as expected,” said Khoury.

The chain’s capacity to care for Covid patients is 150 beds, but more than 100 are unoccupied.

The company employs 3,000 employees and does not rule out a new issue of stock certificates in the future in order to have 20 hospitals by 2025 and become the second-largest hospital chain in the country.

For her part, María Ariza, CEO of BIVA, said that this placement shows the growth potential of the health sector in the context of the pandemic.

“It is the young and modern companies that through innovation and quality achieve the improvement of their industries and society, aligned with the values that support them.

“The country owes its growth to entrepreneurs like these,” he said.