Continue reading this on our app for a better experience

Open in App
Floating Button
Home News Healthcare

Malaysia's IHH Healthcare weighing US$1 billion sale of China hospitals

Bloomberg
Bloomberg • 2 min read
Malaysia's IHH Healthcare weighing US$1 billion sale of China hospitals
Bloomberg reports IHH Healthcare is mulling the sale of its Chinese assets for US$1 billion
Font Resizer
Share to Whatsapp
Share to Facebook
Share to LinkedIn
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

IHH Healthcare, a Malaysian hospital group, is considering the potential sale of its China unit, in a deal that could value the chain at as much as US$1 billion, according to people familiar with the situation.

The Kuala Lumpur-based company is in discussions with potential advisers on a possible sale of Parkway China, the people said, asking not to be named as the information is private.

Taikang Insurance Group and Shanghai Hongxin Medical Investment Holding Co. are also weighing participating in the sale, the people said. Taikang is a minority shareholder in the Malaysian firm’s mainland China portfolio, while Shanghai Hongxin holds a stake in one of its hospitals, according to a statement.

Deliberations are ongoing and may not lead to a transaction, the people said. A representative for IHH Healthcare declined to comment. Representatives for Taikang and Shanghai Hongxin didn’t immediately respond to requests for comment.

Parkway China opened its first medical center in Shanghai in 2006, according to its website. It acquired medical and dental clinic World Link Group in 2007 and has facilities in Shanghai, Suzhou and Chengdu. Parkway provides outpatient and inpatient care for adults and children with over 40 specialties such as cardiology, psychiatry, stress management and traditional Chinese acupuncture.

Private for-profit hospitals in China have been the targets of several recent deals. Shanghai Fosun Pharmaceutical Group Co. this month acquired a 70% stake in Guangzhou Xinshi Hospital Co. for 809 million yuan, according to a statement. DCP Capital is in talks to acquire maternity and pediatric care hospital chain Meihua Hospital for US$400 million to US$500 million, Bloomberg News reported in March.

See also: Medical group Foundation Healthcare raises $400 mil in nine months, projects speedier growth in 2024

IHH Healthcare owns Mount Elizabeth Novena (pictured), to which ParkwayLife REIT has a right of first refusal.

Highlights

Re test Testing QA Spotlight
1000th issue

Re test Testing QA Spotlight

Get the latest news updates in your mailbox
Never miss out on important financial news and get daily updates today
×
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
© 2024 The Edge Publishing Pte Ltd. All rights reserved.