China Resources teams up with Macquarie on $1.3B buy of GenesisCare

money

China Resources Group has teamed up with Australian investment bank Macquarie to buy a majority of cancer and cardio medical care provider GenesisCare in a transaction that will face regulatory approval on foreign investment.

The sale, which Reuters said was valued at $1.3 billion, sees private equity firm KKR selling its 45% stake in Sydney-based GenesisCare. Doctors and managers holding the remaining 55% stake that will be sold to China Resources and Macquarie in a fairly complex transaction that needs a nod from Australia's Foreign Investment Review Board and a shareholder vote.

China has encouraged private hospitals to fit out its medical system with newer services and take some of the patient demand strains away from a massive public hospital network.

Free Webinar

What could you do with real-time supply chain information at your fingertips?

Interested in complete supply chain real-time data visibility? Unlock productivity with digital workflows, manage plants inventory with real-time supply chain information and enable faster decision-making with data visualization with pci | bridge. Register today!

China Resources, or CR, is expected to use its clout and experience gained through China hospital chain unit CR Healthcare to get GenesisCare to expand into China where access to cutting-edge therapies--particularly for cancer--lag because of an approval backlog.

At the same time, the sprawling CR Group is reportedly planning a $1 billion initial public offering in Hong Kong for unit CR Pharmaceutical.

- here's the story from Reuters

Related Articles:
China announces subsidies to wean more hospitals off drug markups

Read more on

Suggested Articles

With a slate of vaccine authorizations on the horizon, vaccine execs from a trio of leading shot makers are looking at distribution hurdles ahead.

News of an FDA plant inspection for a Macrogenics drug boosted investor confidence in BMS' ability to meet its year-end deadline for liso-cel.

BioCryst has scored FDA approval for Orladeyo, the first oral option to prevent hereditary angioedema attacks in patients 12 and older.