Connect with us

Sovereign Fund Direct Investing in Healthcare Remains Constant

Published

on

Healthcare is a popular investment theme for sovereign wealth funds as the world’s population is getting older and older each year. Strategically, Asian sovereign funds like the Korea Investment Corporation (KIC) and Singapore’s GIC Private Limited have a domestic population that has a low birth rate and aging demographic. Combining the aging trend with the frenetic pace of industry consolidation, such as the New York-based Pfizer and Allergan US$ 150 billion merger, health care remains attractive, yet complicated, for many institutional investors. Being somewhat economic recession resistant when it comes to developed markets, healthcare has attracted substantial inflows of sovereign wealth fund capital. For example, Khazanah Nasional owns a minority stake in Mumbai-based drug manufacturer Ipca Laboratories. Wealth funds also approach private healthcare-related companies. Khazanah Nasional, Temasek Holdings, GIC and Baring Private Equity Asia are in negotiations with private equity firm CX Partners to buy a stake in Bengaluru-based surgical equipment maker Sutures India Pvt. Ltd. Sutures India has an estimated enterprise value of US$ 300 million with backers such as CX Partners and TPG Capital.

The Singaporean sovereign funds such as GIC and Temasek Holdings are active in the drug industry, backing emerging Chinese and Indian pharmaceutical companies in 2014 and 2015.

According to the Sovereign Wealth Fund Transaction Database (SWFTD), the pace of direct sovereign wealth fund investing in the healthcare sector has been steadily increasing. In the last three quarters starting with June 30, 2015, wealth funds spent more than US$ 1 billion directly investing in healthcare – roughly US$ 3.2 billion. This can be compared to volatile flow amounts in 2013 and 2014.

Direct Investment by Sovereign Wealth Funds and Large Pensions in Healthcare

[ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

ADIA Seeks to Sell KIC Headquarters

Published

on

The Abu Dhabi Investment Authority (ADIA) is seeking to sell the building that houses the headquarters of the Korea Investment Corporation (KIC). [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Continue Reading

BMO and OTPP Test Blockchain Canadian Dollar Debt Deal

Published

on

The Bank of Montreal (BMO) and the Ontario Teachers’ Pension Plan (OTPP) participated in a landmark blockchain Canadian-dollar debt transaction. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Continue Reading

Just Group Acquires Corinthian Pension Consulting

Published

on

Just Group plc acquired a 75% ownership stake in the holding company of Corinthian Pension Consulting Limited (Corinthian Pension Consulting). Operating in the institutional world for over 12 years, Corinthian Pension Consulting provides advisory services to defined-benefit pension scheme trustees and scheme sponsors undertaking bulk scheme exercises. The remaining 25% will be retained by current shareholders of Corinthian Pension Consulting. Robert MacGregor will continue to lead Corinthian Pension Consulting, as its Chief Executive Officer. Furthermore, Corinthian Benefits Consulting Limited and Corinthian Affinity Solutions Limited will continue to operate as before, becoming part of a newly formed holding company, Corinthian Group Holdings Limited.

Continue Reading

Popular

© 2008-2018 Sovereign Wealth Fund Institute. All Rights Reserved. Sovereign Wealth Fund Institute ® and SWFI® are registered trademarks of the Sovereign Wealth Fund Institute. Other third-party content, logos and trademarks are owned by their perspective entities and used for informational purposes only. No affiliation or endorsement, express or implied, is provided by their use. All material subject to strictly enforced copyright laws. Registration on or use of this site constitutes acceptance of our terms of use agreement which includes our privacy policy. Sovereign Wealth Fund Institute (SWFI) is a global organization designed to study sovereign wealth funds, pensions, endowments, superannuation funds, family offices, central banks and other long-term institutional investors in the areas of investing, asset allocation, risk, governance, economics, policy, trade and other relevant issues. SWFI facilitates sovereign fund, pension, endowment, superannuation fund and central bank events around the world. SWFI is a minority-owned organization.