Singapore's Novena Global Lifecare becomes Taiwan's largest enterprise health screening operator with latest acquisitions of three Taiwanese healthcare players
- Singapore's Novena Global Lifecare, through its subsidiary Novena Life Sciences, increased its stake in Hexin Health Corporation, Taiwan's 3rd largest health screening provider, from 20% to 50.1% and acquired 50.1% of Bolian Biotech and Lianwei Biotech, respectively
- Acquisitions timed with rising demand for corporate or executive health screening packages; will boost Novena Global Lifecare's Taiwan revenues by up to NT$1 billion
- Post-acquisitions, Novena Global Lifecare becomes top enterprise health screening provider in Taiwan, serving the needs of over 700,000 patients
SINGAPORE, Aug. 29, 2019 /PRNewswire/ -- Novena Global Lifecare (the "Company"), 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 increased its footprint in Taiwan's health screening sector with further acquisitions of three healthcare companies.
On 27 July 2019, the Company, through its subsidiary Novena Life Sciences, increased its majority stake in Hexin Health Corporation ("Hexin") from 20% to 50.1% for an undisclosed cash consideration amount, and acquired 50.1% of shares in Bolian Biotech ("Bolian") and Lianwei Biotech ("Lianwei"), respectively, for approximately US$10 million. Post-merger, Novena Global Lifecare will be the largest enterprise screening group in Taiwan.
Hexin is a high-end health screening and medical check-up centre, with 14 contracted medical centres across Taiwan, namely Taipei Medical University Hospital, Taoyuan General Hospital, China Medical University Hospital and Taipei Beitou Hospital, and 11 contracted medical centres in Japan, China, Cambodia, and Malaysia. Hexin Group was founded in 2007 and provides health screening for over 200,000 corporate employees. Bolian takes up a substantial market share of corporate health screenings in Taiwan. Focusing on nutritional health products, treatment of chronic diseases, fitness research, and health management, Bolian and Lianwei together have a combined annual revenue of over US$20 million historically.
Novena Global Lifecare's latest acquisitions will boost its Taiwan revenues by up to NT$1 billion (S$40 million) as the three companies are expected to cater to the health screening needs of one million employees in Taiwan by 2020.
Founded in 2010, Novena Global Lifecare is a subsidiary of DORR Group, a private investment company focusing on consumer/retail, technology and healthcare sectors in Asia, co-founded by former investment bankers and cousins Nelson Loh and Terence Loh. Currently, Novena Global Lifecare drives a multi-million revenue portfolio that provides lifecare management solutions tailored to Asian demographics to help customers in their journey of well-being across their life stages.
"We think it's timely to expand our footprint in Taiwan," said Nelson Loh, chairman and co-founder of DORR Group and Novena Global Lifecare. "The acquisitions allow us to take advantage of the growing corporate healthcare screening market, while we can look forward to synergise the services of these three companies for Taiwanese clients and beyond."
DORR Group and Novena Global Lifecare's co-founder and CEO Terence Loh added: "We got to know these companies through past industry experience. They are well-versed in the Taiwanese market, where health standards are ranked third globally and top in Asia. Their research and expertise will allow Novena Global Lifecare to grow further in the Taiwanese market, while we bring their expertise to regional markets. Furthermore, these companies have stable growth, and are set to further expand their potential in the long term. This reduces investment risk and brings benefits to the Novena Global Lifecare Group."
Under Taiwan's labour laws, it is mandatory for employers in Taiwan to provide regular employee health screenings. Taiwanese employees can choose between heading to a clinic for lower-end examination services, such as blood sampling, X-rays, and ultrasounds, or heading to a hospital for higher-end examination services such as MRI scans.
By providing competitive pricing and more services compared to hospitals, Bolian and Lianwei have secured many contracts with large Multinational Companies, where they provide health screening services and labour examinations for employees. Bolian engaged Pojen General Hospital and has secured clients such as Yuanta Financial Holdings, Chang Hwa Bank and PX Mart Co., Ltd. Lianwei engaged Cardinal Tien Hospital and has clients such as Fubon Financial Holdings, and 7-11. The hospitals engaged provide high-end health inspections to their clients, and Bolian and Lianwei also have special vehicles equipped with medical devices for doctors and nurses to drive to companies and their branches. Employees thus can choose between heading to the designated hospitals for a check-up, or getting the check-up done when these vehicles visit the companies.
According to Taiwan's national labour statistics, there are some 11.5 million workers in Taiwan in 2019 and the rising cost of health screenings provided by hospitals and teaching hospitals have exceeded most company budgets. Consequently, third party health screening providers such as Hexin, Bolian and Lianwei with their comprehensive and cost-effective packages play a critical role in fulfilling corporate needs.
"Hexin is delighted to be working alongside Novena Global Lifecare," said Christa Kuo, CEO of Hexin Health Corporation. "This merger allows us to leverage on Novena Global Lifecare's expertise in the regional healthcare market in order to bring our treatment and research to many new emerging markets in Asia."
About DORR Group
DORR Group is a private investment company co-founded by Nelson Loh and Terence Loh, which currently manages over US$4 billion of assets across various industries from consumer, healthcare, technology and media. The founders and the key executives have a combined track record in excess of 50 years of experience in the investment, structuring and operational aspects, particularly in aesthetic healthcare and consumer/retail.
Tapping on the strong demand for healthcare, wellness, aesthetic services and products in Asia, the DORR Group has established a compelling investment platform and an experienced team with a proven track record in creating one of the region's largest aesthetic healthcare platform – Novena Global Lifecare.
In 2010, the DORR Group sponsored Rockstar Fund and DORR Healthcare Fund I (the "Funds"), primarily seeded by DORR Group and a few family office funds in Southeast Asia. The Funds invested in the aesthetic healthcare sector and through the years, the DORR Group has developed extensive insights, operational experiences and deep content knowledge in this fast-growing sector.
About Novena Global Lifecare
Novena Global Lifecare is one of the largest integrated medical healthcare and aesthetic groups regionally with presence in Singapore, China, Hong Kong, South Korea, Taiwan, Indonesia, India and Malaysia. Founded in 2010 by former investment bankers and cousins Terence and Nelson Loh, the group's network is now in 250 locations in over 20 cities and drives a multi-million revenue portfolio that provides lifecare management solutions tailored to Asian demographics to help customers in their journey of well-being across their life stages. Novena Global Lifecare has established a track record of more than 7 million procedures performed worldwide and over 2 million patients in its international patient database.
Its flagship medical aesthetics brand, NOVU Aesthetics (NOVU), founded in 2016, is the first medical aesthetics group in the world to integrate in-house medical equipment manufacturing, CRM data analytics, and research and development. NOVU's laser-based skintech proposition is founded on the "3C concept", that is, "Colour", "Consistency", "Contour", to solve the user's skin problems. NOVU has 40 clinics in seven countries and sells its line of skincare products in some 1,000 points of sale in the world.
SOURCE Novena Global Lifecare