The official signing ceremony for the Proposed Hospital Project in Prince Bay, attended by representatives from OUE Lippo Healthcare and China Merchants Group. (Sitting front row L to R: Mr Xu Yong Jun, General Manager, CMSK; Mr Lee Yi Shyan, Chairman, OUELH Standing back row: Third from left, Mr Wang Cui Jun, Deputy General Manager, CMG; fourth from left, Mr Fu Gang Feng, Executive Director and General Manager, CMG; third from right, Mr Mochtar Riady, Chairman, Lippo Group; second from right, Dr Stephen Riady, Executive Chairman, OUE)
Singapore – OUE Lippo Healthcare Limited announced that it has entered into a non-binding letter of intent with China Merchants Shekou Industrial Zone Holdings, to jointly develop, operate and manage a high-end international hospital in Prince Bay, Shekou, Shenzhen, the People’s Republic of China.
The Proposed Hospital Project is expected to have more than 200 beds serving the local community and is set to benefit from the growth of the medical tourism industry in the Guangdong-Hong Kong-Macao Greater Bay Area.
Lee Yi Shyan, Chairman of OUELH said, “As a leading region for new and high technological industries in China, the Greater Bay Area will develop as a dominant economic powerhouse in the coming years. When completed, our international hospital in Prince Bay will be well-placed to cater to the growing demand for specialised and quality healthcare services in the area.”
Dr Stephen Riady, Executive Chairman of OUE and Board Director of OUELH said, “The Hospital Project is a significant milestone in strengthening our partnership with China Merchants Group, bringing together our international healthcare expertise and their in-depth local market knowledge. It is also a testament to our continued commitment to grow our healthcare business in China.”
Strategic Partnership with China Merchants Group
The Proposed Hospital Project is the flagship development by OUELH and Hongkong-based state-owned conglomerate CMG.
In November 2017, OUELH announced a strategic partnership with CMG to grow its healthcare business in China. Since then, the partnership has developed steadily and has resulted in projects such as the joint operation of the Shanghai Changhang Hospital in Pudong, Shanghai, which was announced in June earlier this year.
On the back of these strategic developments, OUELH will continue to extend and strengthen its Pan-Asia healthcare presence, including in China. The Company enjoys various strategic partnerships, including its long-term collaboration with CMG, as well as strong support from its shareholders, OUE and ITOCHU Group. Each of OUE and ITOCHU Group owns 64.4% and 25.3% in OUELH respectively.
The Proposed Hospital Project is subject to due diligence, entry into definitive agreement(s) and the obtaining of relevant regulatory approvals by both OUELH and CMSK.
