Hong Leong Group, led by Malaysian billionaire Quek Leng Chan, and U.S. private equity firm TPG, in a joint venture, have agreed to acquire Ramsay Sime Darby Healthcare (RSDH) for $1.2 billion.
This move is set to deepen the operations of Columbia Asia Healthcare, another joint venture between Hong Leong Group and TPG. RSDH operates seven hospitals in Malaysia and Indonesia, while Columbia Asia has 22 medical facilities across Southeast Asia.
The acquisition, funded by the Malaysian Employees Provident Fund and the Abu Dhabi Investment Authority, is expected to be completed by the first quarter of 2024.
Upon divestment, Sime Darby will exit the healthcare sector to concentrate on its core automotive and industrial businesses.
Hong Leong Group and TPG have been actively investing in healthcare, following their regulatory approval to acquire the International Medical University in Kuala Lumpur earlier this year.