MANILA, Philippines - The Ayala Group has closed its deal with Singapore's Temasek Group for the latter to acquire a 16-percent shareholding in Ayala Healthcare Holdings Inc. (AC Health).
In a regulatory filing on Tuesday, Ayala said Temasek-backed ABC Impact Fund II LP had subscribed to 121.9 million common shares and 208.28 million redeemable preferred shares of AC Health.
This is the first tranche of its commitment to inject capital into AC Health via share subscription. It is ABC Impact's first venture in the Philippines after its health-care investments in India, China and Vietnam.
READ: Temasek unit buys 16% stake in Ayala health-care arm
"The investment supports AC Health's expansion across its core pillars of hospitals, multispecialty clinics and retail pharmacies -- through a combination of organic initiatives and targeted acquisitions," AC Health told the exchange.
The company wants to expand its network to at least 10 hospitals, 300 clinics and 1,150 pharmacies by 2027.
AC Health's portfolio includes Healthway Medical Network, Generika Drugstore, IE Medica, MedEthix and St. Joseph Drug.
Regional insights
For its part, ABC Impact earlier said it would provide regional insights and networks to allow AC Health to tap "clinical excellence and health-care innovation" across Asia.
ABC Impact is part of the Temasek Group through Temasek Trust Asset Management.
The deal, first announced last month, came on the heels of AC Health's partnership with Indonesian pharmaceutical firm Dexa Group to strengthen its medicine distribution services in the country.
Under their agreement, AC Health will distribute affordable medicine and other medical products of Glorious Dexa Mandaya Philippines through the Zobel-led firm's network in the country.
This also marks the entry of the Dexa Group, one of Indonesia's largest pharmaceutical companies, in the Philippines. INQ