Jakarta. The Lippo Group, together with Chinese conglomerate partner, China Merchants, has entered into an agreement with China Changjiang National Shipping Group Co to establish a joint venture in China that will operate its first hospital in Shanghai, the company said in a statement on Tuesday (03/07).
The Shanghai Changhang Hospital, which is currently managed by Changjiang Shipping Co, is located in the Pudong New District area of Shanghai. Under the agreement, the Lippo joint venture subsidiary, which itself is a 50:50 joint venture with China Merchants Group, will hold a 51 per cent stake in the multi-million dollar new joint venture company, while China Changjiang will hold the remainder.
"The rapidly growing healthcare market in China is an opportunity for us to bring the renowned Lippo healthcare experience to a wider population. The complementary partnership with China Merchants Group brings together our international healthcare expertise and their deep local market knowledge. Through this joint venture with China Changjiang, we will be able to better serve the China healthcare market," said Lee Yi Shyan, chairman of OUELH, a Lippo listed subsidiary in Singapore said.
Lippo, which operates 32 hospitals in Indonesia under Siloam International Hospitals, and 4 hospitals in Myanmar under Siloam Pun Hlaing Hospitals, is one of the largest healthcare group in Southeast Asia.
In 2016, Private Equity firm CVC Capital Partners acquired a 15 percent stake in the company for US$165 million. As part of Lippo’s human transformation vision for Asia, it is opening hospitals across the region and is slated to open 10 new hospitals in Indonesia this year.
As a pan-Asian holding company, Lippo has strategic investments and operations in eight global markets. Catering to more than 60 million unique customers, the company has become the largest integrated services group in Indonesia with leading businesses in real estate, malls, department stores, hospitals, telecommunications services, media outlets and financial sectors.
The Jakarta Globe is affiliated with the Lippo Group.