GIC-led consortium invests $203m in Vingroup’s hospital chain Vinmec

A consortium led by Singapore sovereign fund GIC is acquiring a minority stake in Vietnam-based private hospital operator Vinmec, part of the conglomerate Vingroup, for 4.7 trillion dong ($203 million).

Vinmec will use the proceeds to expand its medical network, according to a statement. Vingroup will continue to be the sole controlling shareholder of VMC, the company behind Vinmec, following the transaction, it said.

GIC will receive a share of income from VMC proportionate with its equity interest, whilst Vingroup will continue to reinvest all income into the business. The Vietnamese behemoth said its investment in healthcare will remain a non-profit business.

Vinmec currently operates seven hospitals and five clinics across Vietnam.

Vinmec might be GIC’s first healthcare investment in Vietnam, while the Singapore government investor has built a global healthcare portfolio including Canada’s NorthWest Healthcare Properties REIT, Metro Pacific Hospital Holdings in the Philippines, and Vasan Healthcare and Fortis Healthcare in India, as well as a slew of biopharmaceutical companies.

Prior to Vinmec, GIC and affiliates have invested at least $1.3 billion in other Vingroup’s subsidiaries. In 2019, Vingroup announced a $500-million funding by a GIC-led consortium into its retail business VCM Services and Trading Development JSC. A year earlier, the Singapore firm invested $853 million in VinHomes. In 2017, GIC participated in Vincom Retail’s $740-million IPO.

Vingroup is currently the second largest company by market capitalisation in Vietnam, at around $15.6 billion. This year, it also raised another $650 million for Vinhomes from KKR and Temasek.

GIC’s other investments in Vietnam include the largest listed business in the country such as Vietcombank, Masan Group, Vinamilk, PAN Group and FPT Corporation.

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.