2 October 2023, Singapore - Raffles Medical Group (RMG or the Group) is pleased to announce that it has entered into a strategic partnership agreement with My My Trading Services Company Ltd (MyMy), Vietnam, to acquire a majority interest in American International Hospital (AIH) in Ho Chi Minh City, Vietnam, subject to the fulfilment of certain condition precedents and relevant regulatory approvals. As part of the agreement, the Group will also enter into a management service agreement to manage the AIH operations.

Completed in 2018, AIH is a purpose-built and fully equipped 120-bed tertiary hospital located in An Phu Ward, Thu Duc City, Ho Chi Minh City. AIH has five operating theatres and offers a full range of specialists and essential diagnostics capabilities. AIH is a Joint Commission International (JCI) accredited hospital and has been managed by its founders since commencing operations in 2018. Since its inception, AIH continues to see steady growth in both outpatient and inpatient volumes. It currently has about 500 staff, including 60 doctors.

This arrangement will enable RMG to penetrate the growing demand for private healthcare services in Vietnam and augment our clinic operations there. It is also part of the Group’s long-term strategy to further diversify its hospital operations beyond Singapore and China. This expansion will build stronger resilience in both our healthcare services and hospital services with further geographical and revenue mix diversification.

The addition of AIH in Ho Chi Minh City enables RMG to offer the Raffles Medical Group brand of tertiary care to a greater base of patients seeking good quality care and services.

The valuation of AIH was arrived at on a “willing-buyer and willing-seller” basis, after taking into account the valuation of the hospital asset of US$45.6 million, which is within range of a valuation by Savills Vietnam Co., Ltd. The valuation was commissioned by RMG in July this year. The Group expects to fund the cash consideration from internally generated resources.

None of the directors or substantial shareholders of RMG has any interest, direct or indirect in the foregoing, save through interests in RMG.

“We are excited for the opportunity to partner with My My in AIH. The management of AIH has, in a few short years, completed important milestones including building up a strong positive reputation for its services and attaining JCI accreditation. We are delighted to work with AIH to further build on its achievements. Coupled with our three ambulatory care facilities in Vietnam and facilities in the region, RMG is committed to offer a unique regional proposition: the Raffles brand of care and hospital services to meet patients’ diverse needs and preferences. Also, the AIH hospital management service contract positions RMG well and supports our ambition to be the healthcare provider of choice for people in the region,” said Dr Loo Choon Yong, Executive Chairman, Raffles Medical Group.