VietNamNews

Vingroup sells stake in Vinmec for $203 million

Update: December, 29/2020 - 15:18

 

The Vinmec facility in Vincom Times City in Hà Nội. Photo courtesy of Vingroup JSC

HÀ NỘI — A consortium led by the Singaporean investment firm GIC has acquired VNĐ4.7 trillion (US$203 million) worth of stake in VMC Holding Business Investment JSC (VMC), the subsidiary of the largest private enterprise Vingroup JSC.

VMC is the parent of private hospital developer and operator Vinmec.

The investment will be used to expand Vinmec’s medical network and “pursue breakthroughs in excellence of care and patient treatment,” Vingroup said in a statement.

After the transaction, Vingroup will remain “the sole controlling shareholder of VMC” and “GIC will receive a share of income from VMC proportionate with its equity interest, whilst Vingroup will continue to re-invest all income into the business, in line with the group’s existing commitment that its investment in healthcare will remain non-profit,” the company said.

“Vinmec aims to collaborate with GIC to continue to pursue operational excellence and leverage on GIC’s extensive expertise and investments in the healthcare sector globally, including GIC’s partnership with Metro Pacific Hospital Holdings Inc in the Philippines since 2014.”

The investment emphasises “the attractiveness of Vinmec’s comprehensive suite of service offerings and leadership in the development of quality private healthcare,” Vingroup said.

The financial advisor to VMC in this deal is Credit Suisse (Singapore) Limited.

Vinmec is a non-profit business and manages seven international hospitals and five clinics across the country.

Vinmec is the first hospital to secure two JCI accreditations for Vinmec Times City International Hospital and Vinmec Central Park International Hospital.

Its parent firm – Vingroup – is the largest local private enterprise with main focus on technology, industrials and services.

Vingroup is listing more than 3.38 billion shares on the Hồ Chí Minh Stock Exchange (HoSE) with code VIC. Its shares rose 0.6 per cent to VNĐ106,500 apiece on Tuesday.

Vingroup also sees two of its subsidiaries listing shares on HoSE, which are Vincom Retail (HoSE: VRE) and Vinhomes (HoSE: VHM).

The Singapore-based investment business GIC was established in 1981 to oversee Singapore’s foreign reserves. — VNS