New Owner for Columbia Asia Hospitals?

Hong Leong Group, controlled by billionaire Tan Sri Quek Leng Chan, aims to make healthcare one of its core businesses, leveraging the Columbia Asia hospitals in Southeast Asia.
The banking Group and TPG (a global alternative asset firm) have entered into a share purchase agreement with Columbia Pacific Management to acquire Columbia Asia hospitals in Southeast Asia for US$1.2 billion which is expected to close by the end of the year.
Under the partnership, the purchase consists of 17 Columbia Asia hospitals and 1 clinic in Southeast Asia viz: Malaysia (12 hospitals), Indonesia (3 hospitals) and Vietnam (2 hospitals and 1 clinic) excluding the 11 hospitals in India.
Columbia Asia is leveraging the middle to upper middle-income market. It has good scale and an established brand. The asset has growth momentum and, together with the management, we will continue to grow the brand in Southeast Asia,” said Hong Leong’s Finance director Soon Seong Keat.
Columbia Asia Hospitals currently operates 1,500 beds across Southeast Asia. It plans to add another 900 beds in Malaysia, Indonesia and Vietnam over the next 3 to 4 years. These will come from 9 projects in both greenfield and brownfield assets, says Dilip Kadambi, interim group CEO and group CFO of Columbia Asia Group. 
“The group’s revenue has been growing at a compound annual growth rate of 20 per cent over the last few years and we expect the business to continue to grow at the same rate over the next few years. We will open 1 or 2 hospitals a year,” he added.

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