Singapore’s GIC Invests $150 Million in Asia Healthcare Holdings

Singapore’s sovereign wealth fund GIC on Wednesday said that it will invest an additional $150 million in Asia Healthcare Holdings (AHH). This follows GIC’s first investment of $170 million in AHH in February 2022.

AHH, the single specialty hospitals focused healthcare platform backed by GIC and TPG, a leader in the alternative asset space TPG, has a unique approach to investing in and growing different single specialty healthcare companies under one enterprise.

To date, AHH has invested approximately $300 million across hospital chains in Oncology, Mother & Childcare, Urology & Nephrology, and IVF & Fertility under day-care specialty.

AHH’s platform today includes Motherhood Hospitals, Nova IVF, and Asian Institute of Nephrology & Urology (AINU) hospitals.

Motherhood is a pan India chain of mother and childcare hospitals offering comprehensive services from pre-conception to post-birthing care for women and a wide range of services under pediatric care, including the largest network of Neonatal Intensive Care Units (NICU). Nova is a leading fertility solutions provider offering best-in-class IVF services across South Asia.

AINU is India’s only Urology & Nephrology specialty hospital network recognized for its advanced urological care, including robotic surgery and high-end nephrology procedures. Under AHH, these entities have established market leadership in their respective verticals and regions.

Strong Growth

AHH’s Executive Chairman Vishal Bali said that they have started AHH as a healthcare delivery platform that would invest, transform and grow single specialty enterprises under one holding company.

Bali said that over the years, their differentiated investment approach has since delivered strong growth opportunities to bridge the demand- supply gap of healthcare services in India.

Together with AHH’s seasoned leadership team, targeted investments in cutting-edge medical technology and steadfast focus on providing quality care to patients, they have successfully transformed our single specialty healthcare enterprises into market leaders within a short period of time.

“Looking ahead, we continue to see huge growth opportunities in single specialty healthcare delivery enterprises. AHH’s distinct operating model, and the synergies we can leverage from the scale of the platform will enable us to replicate our success across new specialties we bring under our fold. GIC and TPG Growth’s long-term commitment to AHH is the catalyst to accelerate our growth,” Bali added.

Ankur Thadani, Partner at TPG, said that since TPG Growth first incubated AHH in 2016, they have focussed on their mission to take a differentiated approach to healthcare investing, which is to build and grow businesses that are adding value to the healthcare system that enable better outcomes for patients.

Choo Yong Cheen, Chief Investment Officer of Private Equity, GIC, said that as a long-term investor, they were confident in India’s single specialty healthcare sector, which has strong tailwinds for growth driven by increasing per capita income, urbanisation, high awareness of specialty care, and improved supply of high-quality clinics. AHH’s potential to expand into newer sub-segments positions it well for continued success.

“Our additional investment reflects our confidence in AHH’s management team and the strength of its differentiated brands and diversified businesses,” Pankaj Sood, Head of Direct Investments, India and Africa, Private Equity, GIC, said.