Upgrade your membership plan for the full website experience.
View Membership Plans
May 1, 2024

Private Equity Investment on rise in Southeast Asia’s healthcare sector

health care
May 1, 2024

On 15 April, Warburg Pincus announced an investment in Xuyen A, a prominent private tertiary general hospital group in Vietnam with a decade-long history, although the specific amount of the investment was not disclosed. Xuyen A Hospital has recently expanded its services, becoming one of the few hospitals in Vietnam to provide a comprehensive range of oncology services, marked by its newly launched oncology center. This investment also further solidifies Warburg Pincus' position as a major investor in Vietnam, which has so far invested around 2 billion USD across different sectors in the Southeast Asia country.  

This investment follows the recent investment by sovereign wealth fund GIC of Singapore in the pediatric clinic chain Nhi Dong 315 worth 30 million USD, and by KKR in the Medical Saigon Group eye care hospital chain as covered in our previous report, this year. With its over-65 population projected to represent 17 percent of the total population by 2030, Vietnam offers significant growth potential for private investors. According to the American Chamber of Commerce in Hanoi (AmCham Vietnam), healthcare expenditure per capita is predicted to increase by 9.2% annually between 2009 and 2025 in Vietnam, reaching 262 USD by 2025, translating to a total market value of 26 billion USD. 

In the meantime, Singapore sees another major Japanese investment in its healthcare sector. Mitsui & Co., Ltd., a leading trading conglomerate in Japan, has announced a joint entity with ROHTO Pharmaceutical Co., Ltd. to acquire shares of Eu Yan Sang International Ltd (EYS). Based in Singapore, EYS specializes in the manufacturing and sale of traditional Chinese medicines, boasting a network of over 170 retail outlets and 30 clinics across the markets of Singapore, Hong Kong, and Malaysia. Under the joint entity, the two Japanese companies will acquire 86 percent of the shares of the EYS, with the entire company valued at around 800 million SGD (approx. 600 million USD).

Join the Council to continue reading this article
Enhance your business impact in Southeast Asia: Become a member of the US-ASEAN Business Council and tap into a network of possibilities.
Free Related Articles

Membership Plans

Corporate Council

Corporate membership provides general advocacy support, access to all country- and industry-specific updates, and access to most Council events.

  • Business missions to all 10 ASEAN markets which engage governments at the highest levels.
  • Off-the-record roundtables and policy briefings with senior government leaders in ASEAN and the U.S.
  • On-the-ground support for promoting your positions/policy priorities with policy makers.
  • Industry-specific, country-specific, cross-sector and regional advocacy through committees that target their engagement based on member priorities.
  • Advocacy on your behalf in situations where your company should not be directly identified or is unable to be present.

Chairman’s Council

Corporate membership provides general advocacy support, access to all country- and industry-specific updates, and access to most Council events.

  • All Corporate benefits.
  • Assistance with resolving company-specific trade or investment issues through our six regional offices and U.S.-based staff.
  • Develop effective advocacy strategies to impact policy concerns.
  • Identification of, and engagement with appropriate policy influencers to impact policy concerns.
  • Assistance in conducting follow-up after engaging government leaders (can include providing officials with additional materials, setting up meetings with their staff, getting a readout of the government’s reaction to the discussion).
  • Support for developing arguments that will resonate with target stakeholders.
  • Leading and setting the agenda and policy priorities of the Country and Industry Committees.