(Yicai) July 30 -- Aier Eye Hospital Group plans to invest CNY898 million (USD123.7 million) to gain control of 35 hospitals with ‘Aier’ in their names to enhance the private Chinese ophthalmology hospital chain’s presence in regional markets and cement its leading position in the sector.

Aier will purchase stakes of between 51 percent and 92 percent in 35 hospitals owned by four medical institutions from central Hunan province and one from northern Tianjin, the Changsha-based company announced yesterday.

Aier’s subsidiary Lhasa Liangshi Venture Capital holds a 19.5 percent stake in one of the four hospital operators from Hunan and 19 percent in the remaining three. While there is no relation between Aier and the Tianjin-based medical institution, the latter is a subsidiary of one of the four partners of Lhasa Liangshi VC.

The cumulative revenue of the 35 hospitals Aier plans to gain control of surged 35 percent to CNY749 million last year from the previous one. Meanwhile, they turned a total loss of CNY70.1 million (USD9.7 million) into a net profit of CNY18.6 million in the period.

Their financial performance is expected to continue improving in the future, according to Aier.

This is not the first time Aier has purchased equities in namesake hospitals. Last October, the firm bought stakes in 14 such hospitals for a total amount of CNY471 million. In November 2022, it spent CNY910 million to acquire stakes in 26 others.

Aier is one of China’s leading ophthalmology enterprises. Its medical network covers China, Southeast Asia, Europe, and the United States, according to its official website. As of the end of last year, it had 881 hospitals, eye centers, and clinics worldwide, of which 758 were in China.

Aier’s shares [SHE: 300015] were trading up 0.3 percent at CNY10.17 (USD1.40) as of 1.40 p.m. in Shenzhen today.

Editor: Futura Costaglione