Singapore's Thomson Medical Group is in talks to strengthen its controlling stake in FV Hospital, potentially acquiring a substantial $400 million equity sale.
Thomson Medical Group, a healthcare group headquartered in Singapore and backed by Singaporean magnate Peter Lim, is reportedly engaged in negotiations to bolster its controlling stake in Vietnam's FV Hospital, as disclosed by sources familiar with the matter cited by Bloomberg.
FV Vietnam Hospital stands to amass a substantial $400 million through an equity sale to Singaporean magnate Peter Lim.
These sources further divulged that Thomson Medical Group has surpassed rival contenders to persist in the bidding process. The conglomerate is presently collaborating with financial advisors to explore potential acquisition prospects.
Bloomberg previously reported that Quadria Capital, a private equity firm specialising in healthcare, was deliberating the divestment of its stake in FV Hospital, with the goal of generating an estimated $300 million to $400 million in proceeds.
At that time, insiders revealed that FV Hospital's shareholders, including Jean-Marcel Guillon, the founding CEO, were also contemplating the partial or complete sale of their holdings in the hospital.
The negotiation process remains ongoing, and it remains plausible that both Thomson Medical and Quadria Capital may ultimately opt not to proceed with the transaction.
A spokesperson for Thomson Medical declined to provide commentary, while representatives from FV Hospital and Quadria did not promptly respond to Bloomberg's requests for input.
FV Hospital was founded by a group of French doctors and lawyers who shared a common vision for prenatal care and development at a time when the Vietnamese government was actively encouraging foreign investment in the healthcare sector.
In 2003, FV Hospital commenced operations and became the first hospital in Vietnam with 100 per cent foreign capital. It boasts modern infrastructure and state-of-the-art facilities, coupled with an experienced team of doctors.
Additionally, the hospital operates an outpatient clinic in the city. With 36 specialised departments, including prominent areas such as obstetrics, oncology, ophthalmology, orthopaedics, gastroenterology, and cardiology, FV Hospital boasts a capacity to accommodate 1,500 patients per day. The institution also caters to patients hailing from neighbouring nations, including Cambodia, Laos, and Myanmar.
Out of the nearly five million patients who have sought medical attention and treatment at the hospital over the past two decades, 75 per cent were Vietnamese nationals, while the remaining 25 per cent were international patients.
As per the outlined strategy, FV Hospital aims to inaugurate a comprehensive clinic and diagnostic centre in the heart of Ho Chi Minh City by 2023.
Subsequently, in 2025, a seven-story edifice is slated for completion in District 7, serving to expand the hospital's cancer and hepatology treatment capabilities, while introducing additional services and cutting-edge techniques such as in vitro fertilisation, artificial kidney dialysis, and bone marrow transplantation.
Moreover, FV Hospital has set its sights on establishing supplementary clinics in various provinces and municipalities within the next five years.
In 2017, Quadria acquired an undisclosed stake in FV Hospital. Other participating investors encompassed funds under the management of Neuberger Berman Private Equity and DEG, the developmental finance institution affiliated with Germany's KfW Group.
During the commemoration ceremony of FV Hospital's 20-year journey, held on April 9, Duong Anh Duc, Deputy Chairman of Ho Chi Minh City People's Committee said, "Having witnessed the remarkable development of FV Hospital over the past two decades, amidst the backdrop of the evolving trend towards integrated medical and educational institutions, I envision a future where our city will proudly welcome a 'FV Hospital University.' This institution aims to provide high-quality human resources for the healthcare sector and cater to the ever-growing demand for healthcare services."
On May 11, Associate Professor, Ph.D. Luong Ngoc Khue, people’s physician, director of the Department of Medical Service Administration at the Ministry of Health (MoH) and vice chairman of the Vietnam Medical Council, presented a decision by the Ministry of Health to allow Hanoi French Hospital (HFH) to expand its services and up its capacity to 170 in-patient beds.