Business Opportunities'Healthcare, energy biz will be biggest growth engines'
Joe C Mathew / New Delhi October 3, 2009, 0:27 IST
The integration of GE’s several standalone business units and manufacturing plants have made the new entity, Wipro GE Healthcare, a complete medical systems solutions provider, with strengths in design, manufacturing and sales. V RAJA, president and CEO of Wipro GE Healthcare, speaks to Joe C Mathew on GE"s decision to integrate its operations under one umbrella. Excerpts:
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How important is the deal for GE?
India is one of the major growing markets for GE. By consolidating all its healthcare businesses into one legal entity, we can ensure more effective management and resource utilisation to accelerate growth. One consolidated vehicle is more customer friendly than multiple entities. If different people were approaching from different companies to sell GE products, now all of them will come under one umbrella. Beyond that, there is no change.
Will the integration see any downsizing?
Our field force has been representing different companies to sell different products. Now they will all be from Wipro-GE, but will continue to sell different products.
So, there is no question of downsizing. Nothing changes for them. It"s just that the company"s focus gets more sharpened through the integration.
What will be the size of the combined entity?
Since all GE firms in India are unlisted, we do not share the sales figures. To repeat what our chairman said, the intention is to double GE"s revenues from India in the next 3-5 years.
What percentage of GE revenues comes from its healthcare business in India?
As I said earlier, I cannot give you the exact break-up. But overall, GE has a $3-billion sales turnover in India. We intend to double this business in the next couple of years. The company expects healthcare and energy businesses to be the biggest growth engines for India in the coming years.
What is the shareholding pattern of the new entity?
Wipro-GE was a 51:49 per cent joint venture, with GE being the majority partner. Overall structure remains the same. The same shareholding pattern will continue. It is true that the business has expanded now, so there will be a consideration which will get exchanged. There is nothing more that can be disclosed.