Global private equity firm Bain Capital plans to invest $157 million in PT Sejahteraraya Anugrahjaya Tbk, the parent company of Indonesia’s Mayapada Hospital, according to an announcement on Wednesday.
In June 2024, DealStreetAsia first reported that Mayapada Hospital was looking to raise external funding. The report stated that the Mayapada Group had initiated discussions with global investors and private equity firms.
According to the announcement, Bain Capital, through its affiliate BCCS Maverick Holdings, will invest in Mayapada Hospital by subscribing to new shares worth $32 million and bonds valued at $125 million. This investment follows Mayapada Hospital’s private placement, which was approved by its general shareholders on August 21, 2024.
The Mayapada group, through PT Surya Cipta Inti Cemerlang, holds a stake of more than 60% in Mayapada Hospital. High Pro Investments Limited and Wing Harvest Limited own 18.17% and 10.63%, respectively.
Indonesian conglomerate Mayapada Group, founded by businessman Tahir (known only by his first name), has interests in banking, healthcare, and real estate. The group holds significant stakes in publicly traded companies such as PT Bank Mayapada Internasional Tbk and PT Maha Properti Indonesia Tbk.
Founded in 1991, Mayapada Hospital operates six hospitals across Indonesia, with a capacity of over 1,300 beds. The company was listed on the Indonesia Stock Exchange (IDX) in 2011, raising 90 billion rupiah through its initial public offering.
The company expects to operate seven hospitals by 2024 in Tangerang, South Jakarta, Bogor, Kuningan, Surabaya, Bandung, and Indonesia’s new capital, Nusantara. It plans to expand this network to 10-12 hospitals by 2025.
In the Jan-Sep (9M) 2024 period, Mayapada Hospital booked a net profit of 8.2 billion rupiah compared with a loss of 39.62 billion rupiah in the same period last year. Its revenue jumped by 28.46% to 2.33 trillion rupiah in 9M 2024 from 1.81 trillion rupiah in the corresponding period last year.
In June 2024, KB Bank and Mayapada Healthcare inked an agreement for a credit facility partnership worth over 700 billion rupiah ($42.6 million). The loan facility will be used to establish hospital units in Nusantara and Cakung in east Jakarta. The hospital operator also announced a partnership with Indian healthcare major Apollo Hospitals Group to set up a facility in Batam Healthcare SEZ.
Founded in 1984, Bain Capital is a leading global private investment firm with headquarters in Boston, Massachusetts. It manages around $185 billion in assets under management (AUM) in the private equity, credit, public equity, and real estate sectors globally. It has investments in diverse sectors such as healthcare, technology, and retail, and operates in North America, Europe, and Asia.
Indonesia’s healthcare is primed for active dealmaking as local and global PE investors eye opportunities in the sector that has been resilient to global macroeconomic headwinds. Parallely, several healthcare players are looking to raise capital and scale up their operations to meet growing demand.
