Wockhardt failure an isolated one: industry leaders
Healthcare industry leaders have said that Wockhardt Hospitals is an isolated example of a company’s failure to sustain itself in a difficult market. HT Correspondent reports.business Updated: Apr 10, 2009 22:48 IST
Healthcare industry leaders have said that Wockhardt Hospitals is an isolated example of a company’s failure to sustain itself in a difficult market.
Wockhardt, one of the country’s largest integrated pharmaceuticals and healthcare companies, is in trouble after its debt soared to almost one-and-half times its net worth. The company has, in the last three years, spent almost
Rs 2,000 crore in acquiring technology companies abroad.
“Indian companies have to continue acquiring technology and expertise. Wockhardt is an isolated example,” said Sangita Reddy, whose family owns Apollo Hospitals, one of Wockhardt’s peers. She was speaking at the sidelines of the CII Meditech conference in Mumbai.
“Times are difficult, but investing and aspiring in global dreams is a must for Indian companies. Wockhardt has invested in acquiring global know-how, which is what all Indian companies need to do,” said A Vaidheesh, managing director, Johnson & Johnson Medical.
Wockhardt is pitted to sell out its biotechnology business, let debtor banks buy out part of its debt and plans to divest either all or part of its landmark office building at Mumbai’s Bandra Kurla Complex.
First Published: Apr 10, 2009 22:47 IST