Olympus commits $40m to China's Tendcare Medical

Tendcare was founded in 2009 and has a presence in five cities across China. Its operations include five hospitals with over 2,400 beds, four pharmacies and two medical equipment companies; it also manages several clinics. In addition, the company is in the process of acquiring several additional hospitals.

Tendcare plans to continue growing through both organic and inorganic means, according to a release. Olympus' investment will be used to support the company's expansion.

The PE firm's other major healthcare portfolio company is India's Aster DM Healthcare, in which it invested in 2012 - acquiring India Value Fund Advisors' (IVFA) minority stake for $100 million - and again last year - leading a $65 million round with participation by IVFA.

"We look forward to leveraging our experience in Aster DM Healthcare, as well as other middle-market Asian companies, to help Tendcare further expand its operating footprint and participate as a key player in the growth and consolidation of China's healthcare industry," said David Shen, Olympus' regional managing director.

China's hospitals have been the subject of considerable investor interest in recent years. Major recent transactions include the FountainVest-backed management buyout of iKang Healthcare earlier this year, and Morgan Stanley Private Equity Asia's investments in maternity hospital operator Baijia and several hospitals in Jiangsu.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Save this article  
• Send to  

• Topics
• Greater China
• Healthcare
• Expansion
• China
• Olympus Capital Holdings Asia
• healthcare
• Growth capital