After many domestic investors failed to invest in the construction of private hospitals, from 2014 up to now, especially in the first months of 2016, there were many foreign investors interested in the field.
Recently, a US delegation of over 40 representatives from leading hospitals, pharmaceutical, medical device companies and academic training institutions from the US provided the offer to the leaders of HCMC and 175 Military Hospital for the cooperation for the development of private healthcare centres based on the policy of medial socialization in Ho Chi Minh City by 2020
Mrs. Patricia Williams, Chairwoman and founder of Global Health Services Network, expresses her expectation to invest in health sector in Vietnam. In addition to infrastructure investments and equipment as the public – private partnership model, they will also pay attention in the investment in manpower training and hospital management model for more efficient operation.
According to the Director of Health Department in HCMC, Mr. Nguyen Tan Binh, the City are provided with a lot of big projects which need the cooperation of domestic and international investors such as the health cluster Tan Kien, Binh Chanh District, with projects namely Padiatric Hospital in the City, ENT Hospital – branch 2, Hematology and blood Transfusion Hospital, Oncology Hospital, Pham Ngoc Thach university of Medicine, branch 2…
Doctor Nguyen Dinh Phu, Deputy Director of the HCM City People’s Hospital 115 points out that the Government is on the way to socialize health sector. The total expenditure of health care for 93 million Vietnamese people, accounting for 5.8% of GDP, is considered to be the highest in ASEAN, this will attract the interest of investors
According to the Vietnam Private Hospital Association, in 2016, many foreign investors such as Bumrungrad Hospital Corporation (Thailand) and Lippo Group (Indonesia) expressed desire to develop a hospital chain in Vietnam. Mr. Ravindran Govindan, the Chairman of Mercatus Singapore (specilized in consulting, capital investment in projects in several countries and investment fund for medical field) also evaluated that it is high time to invest in the health sector in Vietnam.
In a recent meeting with leaders of Vietnamese Goverment, Ms Cheo Hock Kuan, Senior Managing Director in charge of strategy and external relations of Temasek (Singapore), said that, in the near futurre, Temasek has the expectation of promoting investment in Vietnam through the investment in healthcare by building private hospitals.
Earlier, in 1/2014, Shangri-La Group (Malaysia) invested in building Thanh Do Hospital in Binh Tan district, HCM city. The hospital has 320 inpatient beds and 21 clinical, paraclinical Departments such as obstetrics and gynecology, pediatrics, surgery, cardiology, otolaryngology, ophthalmology, urology, oncology, digestive & hepatobiliary , internal medicine … In 6/2015, Thanh Do Hospital changed its name and logo into City International Hospital (CIH)
At the beginning of this year, the investment in the health sector gave a big surprise as VOF Investment Fund (managed by VinaCapital) announced the acquisition of 75% shares of Thai Hoa International Hospital in Dong Thap province. VOF invested nearly 10 million USD in this hospital. Mrs. Dang Pham Minh Loan, Private Equity Portfolio Manager VOF said, next time, the Fund will continue to seek investment opportunities in the healthcare sector, including investment opportunities in equitized public hospitals if they are attractive enough.