Swire Pacific Ltd., a Hong Kong-listed conglomerate, is in advanced talks to buy a minority stake in Indonesian health-care group PT Pertamina Bina Medika IHC, according to people with knowledge of the matter.
(Bloomberg) — Swire Pacific Ltd., a Hong Kong-listed conglomerate, is in advanced talks to buy a minority stake in Indonesian health-care group PT Pertamina Bina Medika IHC, according to people with knowledge of the matter.
A deal could value the state-backed hospital operator at about $450 million to $650 million, said the people, asking not be identified as the process is private. The transaction may close as soon as the end of the year, the people said.
Swire’s potential purchase of a stake in Pertamedika IHC, as it is known, is line with the Hong Kong-based property, beverages and aviation firm’s plan to explore new areas of growth. The conglomerate is targeting sectors such as health care and sustainable foods, its website shows.
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Deliberations are ongoing and there is no guarantee there will be a transaction, the people said. Representatives for Swire and Pertamedika IHC didn’t immediately respond to requests for comment.
Health-care deal activity in Southeast Asia has followed increased interest around the world as the global population ages, driving demand for medical care. Last month, Singapore’s Thomson Medical Group Ltd. agreed to buy FV Hospital for as much as $381.4 million, marking the biggest-ever health care deal in Vietnam. In Malaysia, conglomerate Sime Darby Bhd. and Ramsay Health Care Ltd., Australia’s biggest private hospital operator, kicked off the sale of their hospital unit and are seeking a valuation of as much as $1.5 billion, Bloomberg News reported in July.
Pertamedika IHC traces its roots to a single hospital founded in 1967 for employees of state-owned conglomerate PT Pertamina, according to its annual report. The group manages 36 hospitals and 172 health clinics throughout Indonesia, a recent press release shows.
–With assistance from Shirley Zhao and Fathiya Dahrul.
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