Dawn Medical Technologies has acquired a controlling stake in Pinnacle Health Equipment, the companies said on Wednesday, giving the CBC Group-backed buyer a foothold in Vietnam.
Dawn CEO Arjun Sarker said the deal gives the Singapore-based healthcare company an immediate Vietnamese presence through Pinnacle’s existing sales network, regulatory know-how, tendering capabilities and hospital relationships.
Sarker told Reuters that Dawn intends to keep Pinnacle’s local business and operating model largely intact, while adding capital, products and operational support to help it grow.
Vietnam’s medical devices market is forecast to grow at a compound annual rate of 8.4% between 2024 and 2029, reaching $2.84 billion by 2029, said BMI, a Fitch Solutions company.
Founded in 2015 by Jade Le, Pinnacle distributes medical technologies and products in Vietnam and represents manufacturers including Medtronic, GE Healthcare and Philips, the companies said in a statement.
Financial terms of the deal, which Sarker said was funded by Singapore-headquartered healthcare-focused asset management firm CBC Group, were not disclosed. Le will remain an equity partner.
Sarker said the deal was Dawn’s first step in a broader Southeast Asia expansion strategy, with Thailand, Singapore and Malaysia among the markets it is interested in.
“This is the first part of that journey,” Sarker said, adding: “We can’t do one and remain there.”
CBC Group’s Vijay Karwal said Southeast Asia’s medical device distribution market is fragmented, which can make it harder for manufacturers to build scale across the region.
Reuters
