Khazanah plans RM4.5b healthcare IPO, say sources
KUALA LUMPUR, April 16 —State investor Khazanah Nasional Bhd is expected to list its healthcare assets in Kuala Lumpur and Singapore in the second half, a deal that could fetch US$1.5 billion (RM4.5 billion), two sources with direct knowledge of the deal told Reuters.
The dual listing could be the fourth-biggest initial public offering in the city state’s history and Malaysia’s second-largest this year after the planned listing of Malaysian plantation group FELDA Global Venture Holdings.
“It is coming out in the second half,” a source with knowledge of the deal told Reuters today. “Some preliminary discussions are being held with cornerstones and Khazanah’s representatives.”
The IPO will be one of the first after elections in Malaysia that are widely expected to be held in June. Analysts and investment bankers have said Malaysia’s IPO pipeline has slowed ahead of the poll because of concerns of market volatility.
A second source said the listing was set for June or July, with pre-marketing to start in May.
Khazanah officials were not immediately available for comment.
The first source, who declined to be identified as the details of the listing have not yet been made public, said Khazanah was still making acquisitions “to bulk up the initial public offering (IPO)”.
Khazanah’s healthcare assets are currently parked under Integrated Healthcare Holdings (IHH), in which Japan’s Mitsui & Co Ltd owns a 30 per cent stake.
Aside from IHH’s recent purchase of Turkish hospital group Acibadem AS, the unit to be listed would have assets of Singapore’s Parkway Holdings, Malaysia-based Pantai Hospitals and International Medical University.
Bank of America-Merrill Lynch, Deutsche Bank AG and CIMB are joint global co-ordinators and bookrunners for the deal. Goldman Sachs, DBS and Credit Suisse are joint bookrunners, a source told Reuters in December. — Reuters