Singapore’s GIC to invest $180 million in Sunway’s healthcare unit

Singapore sovereign wealth fund GIC will invest 750 million ringgit ($180 million) in Sunway Berhad’s SWAY.KL healthcare business, the Malaysian conglomerate said on Wednesday.

GIC will buy a 16% stake in an agreement that values Sunway Healthcare at about 4.69 billion ringgit ($1.13 billion), it said.

“The foreign direct investment by GIC validates Sunway’s confidence in the growth of its healthcare division and the long-term potential of Malaysia’s healthcare industry,” Sunway said in the statement issued jointly with GIC.

Maybank Investment Bank acted as sole financial advisor to Sunway on this transaction.

Reuters reported earlier this week that Sunway agreed to sell around a 15% stake in its healthcare unit to GIC for 700 million to 800 million ringgit.

Sunway Healthcare operates two tertiary hospitals with combined capacity in excess of 800 beds. Expansion plans are expected to increase capacity to approximately 3,000 beds in the next few years, Sunway said. Nasdaq