Dental care chains Clove Dental and Denty's on Wednesday announced that they have joined forces to collectively form one company.
The Global Dental Services promoted dental chain –Clove Dental, which now operates 118 clinics across north India and Maharashtra, together with Denty's that has 22 clinics in south India will now have 140 clinics across 11 states in the country.
"We made a decision to integrate both of us...it's coming together as one company...it's two brands and one company. Collectively we will have 140 clinics across 11 states in the country with 500 plus dentists and a total headcount of over 1,000 employees," Clove Dental CEO Amarinder Singh told reporters here.
Singh further said, "We plan to open another 460 clinics over the next four years. Our objective is to have 600 clinics across India by 2021...200 of those clinics will be in south India."
The company aims to open 120 more clinics in the next financial year.
Asked if Denty's brand will be retained, Singh said "As part of the integration plan we will determine what is the right structure and that plan is not yet determined."
Denty's CEO Sekhar Chennupati said "Joining Clove's eco-system gives us the opportunity to share best practices and align each of our expertise to deliver increased value to our customers."
Singh said Sekhar will join the Board of Directors of Clove Dental and be appointed Head of South India.
Global Dental Services Ltd Chairman Louis Shakinovsky said "This strategic alliance will help us strengthen our position in southern India which will be a 'win win' both for the existing Clove and Denty's patients."
Asked on the nature of transaction, Singh explained "It is a combination of 118 clinics in the north with 22 clinics in South," adding, "It is not acquisition...It is joining forces...it is a combination where we actually collectively form one company. There is an investment by the Chennupati family and they became shareholder."
On the expansion plan, Singh said "The investment will come from combination of business, proceeds and from our shareholders."