Private equity firm Everstone Capital has acquired Malaysia-based medical products and solutions distributor Chemopharm Sdn Bhd as it seeks to expand its healthcare bets.
The investment was made through the firm’s new healthcare platform Everlife, Everstone said in a statement. It didn't disclose the financial details.
Singapore-based Cure Capital is a co-investor, it said.
Chemopharm, which was founded in 1976, has operations in Singapore, Thailand, Indonesia, Vietnam and The Philippines. The company—which caters to over 4,000 customers, including hospitals, laboratories and research facilities—is growing at around 10-15% annually, the firm said.
CA Ooi, founder and CEO of Chemopharm, will continue in his existing role. The other members of the company's leadership will also remain with Everlife.
Everlife will be led by Troy Bailey, who has over 20 years of experience in medical device businesses in Asia, including a stint with GE Healthcare; and Amit Kakar, who has previously held leadership positions in GE Healthcare and Avenue Capital. Arjun Oberoi, founder of Cure Capital, will be a member of Everlife’s board.
Everlife is also exploring acquisition opportunities with companies in areas such as lab and diagnostic equipment, patient monitoring and critical care.
“With the increasing priority given to compliance and best sales practices in the healthcare distribution value chain, there is a critical need for scaled distributors with strong capabilities, which can provide regional access to the fragmented markets of Southeast Asia. This is what Everlife will address,” said Everstone managing director Amit Manocha, who will also be a member of Everlife’s board.
Everstone, which has assets under management of around $4 billion, has made quite a few healthcare bets. It has previously invested in Indian pharmaceutical distribution platform Ascent.
Other healthcare investments by the PE firm include nutraceuticals ingredients company OmniActive Health Technologies Ltd and in Rubicon Research. In 2015, Everstone had exited large multi-specialty tertiary hospital chain Global Hospitals.
The PE firm is currently investing out of its third fund, which focuses on consumer goods and services, including healthcare, education and financial services.
Earlier this month, Everstone said it would acquire Videocon group’s home appliances brand Kenstar.