| Local News |
DECEMBER , 2023 | THE HEALTH
05
An offer Sime Darby could not refuse
MALAYSIAN conglomerate , Sime Darby , recently announced that its joint venture with Australia ’ s Ramsay Health Care , Ramsay Sime Darby Health Care will be sold for RM5.7 billion .
The conglomerate announced that its unit , Sime Darby Holdings , and Ramsay ’ s subsidiary , AH Holdings Health Care , had entered a purchase agreement with the Malaysian-based private hospital chain , Columbia Asia Healthcare .
“ The offer from Columbia Asia was one we could not refuse ,” expressed
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Sime Darby ’ s Group Chief Executive Officer ( CEO ), Jeffri Salim Davidson in a statement .
“ While the hospital business is a great asset , we have always focused on our core trading businesses of motors and industrial .”
Following this sale , the funds procured will allow Sime Darby to unlock the value of its healthcare assets , which was previously recognised as non-core , with a RM2 billion gain on disposal of the stake .
This deal between Sime Darby and
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Columbia Asia Healthcare also symbolises the largest Southeast Asian healthcare acquisition since 2019 , when , during the time , Malaysian conglomerate Hong Leong Group , and TPG acquired Columbia Asia ’ s assets for
US $ 1.2 billion . Sime Darby also stated that sovereign wealth fund Abu Dhabi Investment Authority and Malaysian state pension fund Employees Provident Fund will provide new capital to fund the acquisition .
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Post-acquisition , both co-investors will have a combined shareholding of around 25 per cent in One Health Holdings , the TPG-owned and controlled unit that owns Columbia Asia .
Columbia Asia was established in 1996 and has 22 medical facilities across Malaysia , Vietnam and Indonesia . Columbia Asia focuses on the establishment of mid-size hospitals in residential areas .
Sime Darby expects that this acquisition with Columbia Asia will be fulfilled in the third quarter of fiscal 2024 .
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Raising stroke awareness
World Stroke Day Carnival - Hospital Sultan Abdul Aziz Shah , UPM .
BOEHRINGER Ingelheim Malaysia had recently organised a nationwide Angels Initiative Roadshow . The goal of the roadshow was to bolster stroke awareness and care among Malaysians .
The roadshow took off in Serian in the middle of August , followed by several key locations in Peninsular Malaysia , and culminated in Sabah on World Stroke Day . Boehringer Malaysia also introduced their FAST Heroes Programme on top of the health talks and educational booths to educate children , providing them with the ability to play a vital role in identifying stroke symptoms and helping their loved ones .
Stroke ranks as the third leading cause of mortality in Malaysia , being often referred to as a silent killer as strokes happen without prior warning . There were 47,911 reported cases of stroke incidents , resulting in 19,928 deaths in 2019 alone .
The general misconception of stroke is that it only affects the elderly . However , stroke occurs in individuals aged from 15 to 65 . Patients with underlying health conditions such as obesity , high blood pressure , diabetes and heart disease are at a higher risk of getting a stroke .
“ On the occasion of World Stroke Day , we would like to highlight the importance of
World Stroke Day - Dataran Helipad , Taman Tasik Titiwangsa Kuala Lumpur .
adopting a healthy lifestyle as it can help reduce the likelihood of developing high blood pressure , thereby mitigating the risk of experiencing a stroke ,” said Boehringer Ingelheim Malaysia , Singapore and Indonesia Head of Medicine , Dr Mohd Azhar Ahmad .
“ A healthy lifestyle encompassing regular exercise , a well-balanced diet , and stress management is essential for stroke prevention .”
Malaysia Stroke Council President , Hoo Fan Kee , stressed on the significance of a rapid response within the golden hour : “ Alongside stroke prevention , recognising stroke symptoms as well as acting swiftly and effectively is the key to safeguarding your loved ones during a stroke incident .”
The golden hour is a critical window of opportunity to optimise treatment effectiveness
once symptoms manifest . Stroke symptoms differ amongst individuals , and many are unaware of when it occurs . This unawareness can lead to permanent disability and even death once a stroke occurs .
Research showed that patients who were treated within the first 60 minutes have the best chance of a full recovery . Because strokes can occur without warning , the public must be educated on recognising the symptoms of a stroke to act fast and save lives .
Boehringer Ingelheim has inked partnerships with local hospitals and associations , leading to the participation of 1,640 Malaysians in this nationwide roadshow . One thousand students from six schools had also participated in the FAST Heroes programme , receiving professional training to respond to strokes effectively .
IHH seeks acquisitions in new markets
ASIAN private hospital operator IHH Healthcare Berhad , recently announced that it is seeking acquisitions in new markets in the Southeast Asian region , such as in Indonesia and Vietnam .
IHH also stated that it is looking to expand its market reach in which IHH has an established presence such as in India and Turkey . IHH also seeks to improve underperforming assets in China .
IHH Berhad Chief Executive Officer ( CEO ), Prem Kumar Nair , said , “ There are some very good healthcare markets like Indonesia and Vietnam .”
He added : “ I look at it from the viewpoint of where some of our foreign patients are coming from . These are very strong markets for us ,” he was reported to have said .
Furthermore , IHH is also reviewing its operation strategies in China , where its operations are currently facing a loss in revenue .
“ China is a market where we ’ ve got to play the long game because it ’ s huge . There will be some ups and downs , but we ’ ve got to stay the course .”
He also added that as China is the world ’ s second most populous country and its population is becoming more affluent as the demand for private healthcare grows , China is ripe with opportunities to grow for IHH , especially in the long run .
“ IHH aims to grow organically by adding another 4,000 new beds across Malaysia , India , Hong Kong , Türkiye and Europe in the next five years ,” Prem added . The company has more than 12,000 beds at this time .
IHH operates in 10 countries with 83 hospitals and more than 65,000 staff . The company is listed in both Singapore and Malaysia .
LSEG data stated that IHH Berhad had a recent market cap of around $ 11 billion , making it the fourth-biggest among healthcare companies in the Asia Pacific , excluding Japan .
Its third-quarter net profit more than doubled to RM532.1 million from the previous year , mainly through a high volume of patient intake .
However , competition in the healthcare sector is on the rise , and companies and investors are on a quest to scoop up healthcare assets , betting on increasing demand and the sector ’ s ability to weather through rigorous economic conditions , such as Columbia Asia ’ s acquisition of Ramsay Sime Darby Health Care for RM5.7 billion .
Prem concluded : “ We are happy that there ’ s competition because it just shows that we are in the right healthcare market . We won ’ t want to overpay for assets . We will pay what ’ s right , what ’ s accurate , and what fits into our expansion plan .”