21 January 2020 | News
Novena Global Lifecare (NGL) will be the largest single shareholder with 55% stake and the two centres will be renamed as "Novena Global Surgery" by the first half of 2020
image courtesy: prnewswire
Novena Global Lifecare, one of Asia's largest integrated medical healthcare and aesthetic companies with over 250 clinics in 20 cities mainly in the Asia Pacific region, has bought into two-day surgery centres operating at prime locations of Camden Medical Centre and Paragon Medical Centre in Singapore.
NGL will be the largest single shareholder with 55% stake in the centres in a deal size that's worth up to S$20 million. Aptus Surgery Centre ("Aptus") opened in Paragon Medical Centre in 2016 and Novaptus Surgery Centre ("Novaptus") was operational at Camden Medical Centre in 2019. Each has four state-of-the-art operating theatres with cableless pendant systems and are equipped for a range of surgeries, including plastic, dental and eye procedures. Patients are also able to have a hand, laparoscopic surgery and endoscopic diagnostic procedures carried out.
Terence Loh, the co-founder of DORR Group which owns NGL, said: "We are excited with this acquisition as the day surgery centres further complement our suite of medical healthcare and aesthetic services. Day surgery centres are known to be more cost-effective as it helps patients to save time and costs in today's escalating healthcare costs. Acquiring day surgery centres is in line with NGL's practice of providing affordable healthcare to its clients."
Day surgery centres, also known as ambulatory surgical centres, are same-day surgery centres equipped to handle procedures requiring sedation or general anaesthesia. Set up to complement the hospital system, the centres relieve the demand for hospital beds and is also a more cost-effective service for those who are going through surgeries that do not require them to stay overnight at a hospital.
In 2019, there were 20 Ministry of Health ("MOH")-approved ambulatory surgical centres in Singapore.
Said Dr Lim Cheok Peng, Senior Medical Adviser to NGL and former Managing Director and Chief Executive Officer of Parkway Holdings Limited: "This acquisition will be a value-added offering by the NGL group as it seeks to enlarge its health services businesses in Singapore. As with NGL's regional network, it aims to scale the business to replicate similar state-of-the-art facilities across Asia."
According to a 2019 Business Times report, the number of surgical procedures done in Singapore was about 800,000 in 2016, with 37 per cent comprising day procedures. The newspaper also reported that the growth in day procedures outpaced inpatient procedures, growing at a 16-year cumulative average growth rate of 7.6 per cent as compared to 2.1 per cent growth in inpatient procedures.
Dr Lim Beng Hai, as the new Medical Director of Novena Global Surgery, the NGL subsidiary which the two centres will be parked under, said: "I am excited to have Novena Global Lifecare join us as a strategic partner and I am confident that with NGL's expertise in A.I Technology, and local and regional reach in healthcare, Aptus and Novaptus as Novena Global Surgery can move to greater heights and allow premier affordable Ambulatory Care Centres in Singapore and around the region."