Thailand’s largest hospital operator Bangkok Dusit Medical Services Pcl (BDMS) said on Thursday it planned to make an offer worth up to 102 billion baht ($3.2 billion) for the shares in Bumrungrad Hospital it does not already own.
BDMS, which has a 25% stake in Bumrungrad Hospital (BH), said it would make a tender offer for the remaining BH shares at between 125 baht and 150 baht each, valuing its offer at between 85.6 billion baht and 102.7 billion baht.
The unsolicited offer is in line with BDMS’s policy of investing in Thailand’s healthcare sector and growing demand for healthcare services from neighboring countries, it said.
The plan, which is subject to BDMS shareholder and antitrust approvals, sent shares in both BDMS and BH higher. They closed up nearly 6% and 16%, respectively.
BH said in a statement it had no prior knowledge and was “surprised” by the offer. It said the plan should be examined by Thailand’s antitrust regulator, the Trade Competition Commission, in the interest of customers.
BDMS has 45 hospitals across Thailand, while international patients accounted for 30% of its revenue in 2019.
BH operates a hospital and three clinics in Bangkok.