Ayala's healthcare arm secures Temasek-backed investment

MANILA, Philippines — AC Health, the healthcare arm of the Ayala Group, has secured what it called a “landmark investment” from Singapore-based impact investor ABC Impact, a firm backed by Temasek Trust and Temasek.

In a statement Monday, AC Health said ABC Impact will acquire an approximately 16% minority stake through a primary capital infusion.

The capital will fund AC Health’s expansion plans, which include growing its network to at least 10 hospitals, 300 clinics and 1,150 pharmacies by 2027.

ABC Impact, which has healthcare investments in India, China and Vietnam, said there are opportunities to share knowledge and collaborate in enhancing AC Health’s integrated care model in the Philippines.

Paolo Borromeo, president and CEO of AC Health, said ABC Impact’s investment is a nod to its "integrated model" and aims for a more inclusive healthcare.

First venture into Philippine healthcare. The deal marks ABC Impact’s first direct entry into the Philippine healthcare market.

Its previous investments include Kim Dental, Vietnam’s largest private dental care network; DCDC Kidney Care, a dialysis provider in India; and HiRo, a clinical research organization operating in the Asia-Pacific and the United States.

“We are honored to expand our relationship with Temasek and Temasek Trust, and welcome ABC Impact as a partner in our healthcare journey,” Fernando Zobel de Ayala, chairman of AC Health and board director of Ayala Corp, said in a news release.

The transaction’s completion is subject to standard closing conditions. BofA Securities served as AC Health’s exclusive financial adviser for the deal.