EQT exits Singapore’s Econ Healthcare

Terms of the transaction were not disclosed. EQT and Ong formed a joint venture in 2012 to privatize China Healthcare - a holding company that controls the Econ brand - in a deal that valued the asset at S$80.4 million ($59.3 million). As a result of EQT's exit, Ong will take 100% control of the company.

"Econ Healthcare appreciates the opportunity to collaborate with EQT during the past four years," Ong said in a statement. "The journey together has given us the exposure in working with one of Europe's leading global private equity groups."

Econ is one of the largest elderly care service providers in Southeast Asia, operating nine medical centers and nursing homes in Singapore and two in Malaysia. It also owns a hospital and a care skill training center, and provides services in traditional Chinese medicine, home care, ambulance services, physiotherapy and rehabilitation. In 2015, it recorded annual sales of S$47 million and EBITDA of S$5 million.

EQT invested in the company via its Greater China II fund which targets control or co-control investments in both China and Southeast Asia and typically makes investments in the range of $80-100 million. During the fund's investment period, Econ expanded operations in Malaysia via the addition of a nursing home in Taman Perling.

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• Topics
• Southeast Asia
• Healthcare
• Buyback
• Singapore
• EQT Partners
• Exit