UEM Edgenta to acquire indirect owner of UEMS for S$185.9 million
PETALING JAYA: UEM Edgenta Bhd and its wholly-owned subsidiary Edgenta (Singapore) Pte Ltd have proposed to acquire Asia Integrated Facility Solutions Pte Ltd (AIFS), a facilities management services company present in three countries, for S$185.9 million (RM563 million).
UEM Edgenta expects to finance the proposed acquisition with bank borrowings.
In a filing with Bursa Malaysia yesterday, UEM Edgenta said it and its wholly-owned subsidiary have entered into a sale and purchase agreement (SPA) with Asia IFM Solutions Ltd (Asia IFM) for the proposed acquisition.
AIFS indirectly owns UEMS Pte Ltd (UEMS), a provider of facilities management services to the healthcare sector serving over 60 public and private hospitals and 26,000 beds in Malaysia, Singapore and Taiwan.
In Malaysia, UEMS services private healthcare and hospital segments such as Prince Court Medical Centre, Pantai Hospital Kuala Lumpur, Gleneagles Penang and Assunta Hospital.
In Taiwan, it manages hospital facilities for public and private hospitals such as Saint Paul’s Hospital, National Taiwan University Hospital, Pingtung Christian Hospital and Yuan’s General Hospital.
In Singapore, it provides housekeeping and patient management services where their clients include Changi General Hospital, St Luke’s Hospital, Tan Tock Seng Hospital as well as Sengkang Health@Alexandra Hospital.
“The proposed acquisition of UEMS not only allows UEM Edgenta to have a leading position in Malaysia’s private healthcare sector but we are also able to immediately establish our regional healthcare services presence in Singapore and Taiwan,” said UEM Edgenta managing director and CEO Azmir Merican.
He added that UEM Edgenta has expansive offerings that include biomedical engineering services, healthcare waste management, energy management services, and linen and laundry services which they will be able to add into UEMS, resulting in a wider scope of complementary services being offered to existing and new clientele in both prevailing and new geographies.
The proposed acquisition is expected to be completed in the fourth quarter of 2016, subject to UEM Edgenta shareholders’ approval being obtained at an EGM to be convened.
CIMB Investment Bank Bhd has been appointed principal adviser to UEM Edgenta for the proposed acquisition.