Singapore-based Luye Medical Group has completed the acquisition of Australia's private healthcare group Healthe Care from Archer Capital Fund for A$938m ($724m).
The acquisition strengthens Luye Medical's position in the international private medical groups in the region.
The deal will see Healthe Care continue to expand its business operations in the Australian market, and work closely with Luye to expand its footprint and building high quality healthcare services in Singapore, China and the other Asian countries.
Both the firms specialise in areas such as oncology, cardiology, neuropsychiatry, orthopaedics, and rehabilitation and synergies with the key therapeutic pharmaceutical products of Luye Pharma Group, another member of Luye Group.
Luye Medical Strategy Planning & Business Development, Operations group vice-president Choo Kin Poo said: "This is our largest acquisition so far. As a medical group headquartered in Singapore with assets overseas, having Healthe Care on board will allow us to build on our business strategy and plans to expand in Singapore and Asia Pacific."
According to statistics, the market size of healthcare industry in China is about $280bn and the compound annual growth rate of hospital income during 2009 to 2013 was 20%, of which that of private hospitals was as high as 28%.
According to Luye Medical, the acquisition of Healthe Care will greatly improve the company's capabilities in China, enabling it to deliver high quality healthcare services with international standards.
Luye Group chairman Liu Dianbo said: "The acquisition of Healthe Care represents an important milestone in the development of Luye Medical Group. It has great strategy significance and extensive influence on the development of healthcare services and lays the foundation for Luye Medical Group and Luye Group as a market leader both internationally and in China."
Currently, Healthe Care runs 17 medical institutions in Australia's major cities and regions with about 2,000 beds, over 50 operating rooms and 5,000 employees.