
Creador invests $45m in Indonesia hospital chain
Creador has committed IDR600 billion ($45 million) to Indonesia-based hospital chain Medikaloka Hermina.
The investment will give Creador a minority stake in Hermina, according to a statement. Hermina will use the capital primarily to support its expansion push, which is also expected to benefit from Creador’s strategic advice and guidance.
Hermina was founded in the 1970s as a Jakarta-based mother and child care hospital and has since become one of Indonesia’s largest private hospital chains. The company operates 25 multi-specialty facilities with about 2,600 beds nationwide, providing primary and secondary care. All facilities have a panel of top obstetricians and gynecologists, in keeping with its traditional focus on maternal and child health.
Indonesia’s healthcare market is currently underserved: while the global population has 30 hospital beds per 10,000 people, the ratio in Indonesia is 12 per 10,000. Private players are expected to fill this gap, particularly as the government introduces new universal healthcare rules that will extend coverage to the entire country by 2019. Hermina hopes to grow its network to 40 hospital by 2020.
“We are excited to be able to finally partner with Creator, who we have known since 2013 and have throughout this period demonstrated their value-add through their strategic advice and guidance,” said Dr. Menurut Hasmoro, president-director of Hermina. “We believe that we will continue to positively work together to take Hermina, and Indonesian healthcare, towards a better future.”
Creador is currently investing its third Southeast Asia and India-focused fund, which launched in 2015 and closed last year at $415 million. Previous healthcare investments include India’s Paras Healthcare, to which Creador committed INR2.75 billion ($42 million) earlier this year.
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