Thiruvananthapuram: Hindustan Latex Ltd (HLL), a public sector undertaking under the union health and family welfare ministry, and Acumen Fund, a non-profit venture philanthropy fund, Tuesday announced the formation of a joint venture (JV) to build a chain of small hospitals across India.

The JV, Life Spring Hospitals Pvt Ltd, plans to construct 30 hospitals each with 20 to 25 bed capacity by 2010 to provide low-income clients access to maternal and child health care services.

HLL has an annual production capacity of 1.32 billion condoms and Acumen Fund invests in social enterprises addressing poverty in South Asia and Africa.

"The (JV) company would be a 50:50 equity partnership between Acumen and HLL. It was recently incorporated here with an authorised capital of Rs.200 million ($5 million). Acumen's initial equity investment would be Rs.78.3 million," HLL chief managing director M. Ayyapan told reporters here.

Life Spring will open five hospitals in 2008 and thirty across India by the end of 2010.

"Acumen Fund is excited to be working with HLL in this joint effort to provide affordable access to high quality maternity and child health care services in India," said Jacqueline Novogratz, chief executive officer of Acumen Fund.