Thomson Medical Group announces FV Hospital as member

January 18, 2024 | 11:11

(0) user say

On January 17, the Singaporean Thomson Medical Group announced that FV Hospital has become a member after an acquisition deal worth VND9 trillion (around $380 million).

This is the largest healthcare merger and acquisition transaction so far recorded in the Southeast Asian healthcare sector since 2020.

Owning FV Hospital brings a strategic advantage to Thomson Medical Group in the Vietnamese market, and for FV Hospital, this turning point opens a new era for the hospital.

Thomson Medical Group announces FV Hospital as member

The transaction marks the arrival of Thomson Medical Group in Vietnam – one of the leading listed healthcare companies in Southeast Asia, with operations in Singapore and Malaysia.

According to Kiat Lim, executive vice chairman of Thomson Medical Group, the acquisition of FV Hospital expands the group's presence into three of the most important geographies in Southeast Asia's healthcare sector, providing access to a growing market and abundant talent while also facilitating advances into neighbouring countries such as Cambodia, Laos, and Myanmar.

“Vietnam was an obvious choice for us. Having already established a stronghold in Singapore and a growing network in Malaysia, we naturally turned to Vietnam – a country that Singapore shares excellent bilateral relations with. Vietnam is not just another market in Southeast Asia to invest in, its economic resilience in the past few years has made it a global engine for growth. The growing affluence of the country, its rising middle class, and the surge in medical tourism all align to make Vietnam one of the fastest-growing healthcare markets in the region,” said Lim.

Melvin Heng, CEO of Thomson Medical Group, said that the tie-up goes beyond a business partnership and marks a significant milestone in their journey towards advancing healthcare excellence and providing world-class medical services.

“Thomson Medical Group, with its rich history and a reputation for delivering high-quality healthcare solutions, is poised to accelerate FV Hospital’s growth and innovation through its scale and regional reach. Our vision is to synergise the strengths of both organisations, creating a healthcare powerhouse that will redefine the standards of medical care in the region,” said Heng.

“This acquisition is not just about the combination of the two entities, it is about the fusion of expertise, the amalgamation of talent, and the collaboration of two healthcare giants coming together for a shared purpose. Our goal is to bring medical leadership to unparalleled heights during this critical juncture in the development of healthcare in the region,” he added.

This acquisition also opens doors to a new era of research and development between the two sides, as they pool resources and knowledge to push the boundaries of medical science.

“Together, we will explore innovative solutions, conduct groundbreaking research, and contribute to the advancement of medical knowledge,” Heng continued.

FV Hospital was founded by a group of French doctors led by Dr Jean-Marcel Guillon in 2003 and started a trend of attracting overseas funding into the healthcare sector.

FV owns advanced equipment and facilities with over 1,500 employees and 260 skilled doctors, capable of treating complex cases in 36 different specialities.

It provides care for 250,000 patients annually, of which 25 per cent are foreigners living in Vietnam.

According to Kho Ngee Seng Roy, consul general of the Republic of Singapore in Ho Chi Minh City, Singapore has been the leading investor in Vietnam for many years.

“The merger of FV Hospital into Thomson Medical Group is clear evidence of Vietnam's increasingly important role in the regional arena, as well as the nation's ability to attract foreign direct investment and drive trade between the two countries,” Roy said.

He added that cross-border cooperation, knowledge sharing, and the common goal of improving the medical care system are shining examples of the targets both countries can achieve by working together.

Dr. Jean-Marcel Guillon, CEO of FV Hospitality, shared that this is an extremely proud moment, highlighting FV Hospital's journey of more than two decades of continuous construction and development.

“Now, backed by the resources of Thomson Medical Group and by our shared leadership values, we will be on a faster growth trajectory, propelling us towards even greater goals,” Guillon said.

Thomson Medical Group was founded in 1979, and now has a network of close to 40 specialist medical clinics and facilities providing healthcare services.

FV Hospital has more than 200 operating beds and 1,500 staff, including more than 200 Vietnamese and expatriate doctors. It also operates an outpatient unit, FV Saigon Clinic, and has acquired ACC, a chiropractic centre in Vietnam with four clinics in Ho Chi Minh City, Hanoi, and Danang.

Thomson Medical Group eyes robust growth in Vietnam through strategic M&A initiatives

Speaking at the 15th Vietnam M&A Forum 2023 themed Thriving Together that was organised by VIR on November 28, Dr. Melvin Heng, executive director and group CEO of Thomson Medical Group, emphasised the pivotal role of mergers and acquisitions (M&A) in this expansion.

Collaborative growth in Vietnam's M&A ecosystem

At the second panel of the 2023 M&A Vietnam Forum hosted by VIR on November 28, a panel of experts delved into the complexities of M&A. Here's what they had to say.