Singapore to buy $84 mn stake in Philippine hospital group
Singapore sovereign wealth fund GIC will buy a minority stake in a company that operates top hospitals in the Philippines for $84 million, both firms said Friday.
A joint statement said GIC's investment will give it a 14.4 percent stake in Neptune Stroika Holdings Inc., the hospital holding company of Philippine conglomerate Metro Pacific Investments Corp.
Neptune Stroika runs eight hospitals in the Philippines, including the Makati Medical Center, Asian Hospital and Cardinal Santos Medical Center which are favoured by the country's elite.
GIC also subscribed to bonds worth 6.5 billion pesos ($149 million) which could be exchanged for a further 25.5 percent in Neptune Stroika in the future under certain conditions.
Metro Pacific will use the bond proceeds to invest in its other businesses such as roads, power and water, the statement said.
GIC's hospital venture comes two weeks after it announced a $77 million investment in the parent company of Philippine canned food producer Century Pacific Food Inc. as it seeks to boost its presence in the sprawling archipelago of 100 million people.
The Philippine economy grew 7.2 percent last year -- one of the fastest rates in Asia.
GIC, previously known as the Government of Singapore Investment Corporation, manages more than $100 billion of the city-state's foreign reserves.
Among its latest investments, GIC this month bought a stake in Brazilian online sports goods retailer Netshoes.
Last December, it bought a 50 percent stake in a major London office complex which press reports said was worth around �1.7 billion ($2.8 billion), while in January it partnered with a group of investors to buy $1.3 billion worth of Manhattan office space from Time Warner.
The US-based Sovereign Wealth Fund Institute names GIC as among the world's top 10 biggest sovereign wealth funds, in a list that also includes Singapore state investment firm Temasek Holdings.