Dubai’s TVM Capital eyes investments in SEA’s digital health sector

Photo by Hush Naidoo on Unsplash

TVM Capital Healthcare, the UAE arm of Germany-based investment firm TVM Capital, is eyeing investments in digital solutions in Southeast Asia’s (SEA’s) healthcare industry through its new SEA-focused fund, its CEO and chairman Helmut Schuehsler told DealStreetAsia.

The specialist healthcare investment firm, headquartered in Dubai, is in the midst of raising an SEA-focused fund, the target of which is slated to be $200-250 million. It’s expected to achieve the final close during the course of this year, said Schuehsler.

Once raised, TVM Capital Healthcare will look at growth-capital investments in companies that have revenues as diverse as $5 million to up to $200 million. The firm is looking at a ticket size of $10-25 million to support the expansion plans of healthcare companies.

TVM Capital started the pre-marketing process of its SEA-focused fund in late 2018, at about the same time when it raised a new fund for the Middle East. The two processes were conducted after the firm’s third emerging market-focused healthcare fund was pushed to the backburner.

In early 2016, TVM Capital Healthcare launched a $300 million fund, according to media reports.

TVM Capital Healthcare’s plan to invest in digital solutions comes along with the development of certain technological digital solutions in a bouquet of SEA countries such as Singapore, Malaysia, and Indonesia. The digital solutions that are seen in these markets could increasingly emerge in areas of primary care and home care, among others, Schuehsler said, adding that the firm has already held discussions with a slew of potential targets.

Even as digital health solution remains the firm’s key focus, it is also looking at clinching investments in the traditional (non-digital) healthcare sector such as pharmaceutical, medical devices, manufacturing, diagnostics and hospitals, among others.

“I do believe that in the long run, we will see an integration of healthcare services outside hospitals, on digital platforms that are able to manage data and make them available not only to the patient but also to service providers,” Schuehsler said.

Founded in 2010, TVM Capital Healthcare has always invested in companies based in Middle Eastern countries. According to the company’s website, its existing portfolios include Egypt-based medical devices company Amecath Medical Technologies, UAE-based fertility center Bourn Hall International, UAE-based Cambridge Medical and Rehabilitation Center, as well as UAE-based homecare provider Manzil Healthcare Services.

However, over the past three years, the firm has turned its focus on the SEA market. “We expect private healthcare in Southeast Asia will grow and double-digit percentage numbers every year,” said Schuehsler. “Our strategy is not to invest one time and then just let it go. We continue to support the company financially as long as we have shareholders,”

TVM Capital Healthcare’s total asset under management (AUM) currently stands at $150 million. Meanwhile, its parent company TVM Capital manages close to $2 billion. Over the next 2-3 years, TVM Capital Healthcare will continue to review the divestment plan of its existing portfolio companies.

In June 2015, the firm exited UAE-based ProVita International Medical Center thereby selling its stake to local company NMC Health for $160.6 million. Later, in January 2020, the firm sold Abu Dhabi-based Wahat Al Aman Home Healthcare to India’s Aster DM Healthcare or $28.6 million.

 

 

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.

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.