OUE has acquired the entire 19.32% stake held by its partner Itochu in OUE Healthcare at 2.4 cents per share, or $20.7 million.

 

Back in 2018, Itochu invested $78.75 million in OUEH.

 

The agreed transaction price is a slight discount off OUEH' s last traded price of 2.6 cents on Dec 15.

 

Upon completion of the deal, likely on Dec 24, OUE' s stake in OUEH will increase to 89.68%.

 

OUE says this transaction lets it raise its stake in OUEH at a discount to the market price.

 

It is also " in line with the group' s commitment to the longer-term prospects of OUEH' s healthcare business.

 

" The transaction will also allow OUEH to focus on executing its longer term business plan with the firm support of its key stakeholder," says OUE.

 

OUEH, via a JV, owns a 60% stake in specialist healthcare chain O2 Healthcare Group.

 

It holds 27% in Healthway Medical Corporation, which runs over 130 clinics.

 

In China, via JV or on its own, OUEH runs 3 hospitals while in Myanmar, it holds a 40% stake in the Pun Hlaing Hospitals.