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Overview

ICBC contributes to a $295 million AUD syndicated loan to Luye Medical Group to finance its acquisition of Healthe Care Australia

Commitments (Constant USD, 2023)$47,846,477
Commitment Year•2016Country of Activity•AustraliaDirect Recipient Country of Incorporation•SingaporeSector•HealthFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2016
Start (actual)
Apr 18, 2016
End (actual)
Apr 18, 2016

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% Chinese ownership

Funding agencies

State-owned Commercial Banks

  • Industrial and Commercial Bank of China (ICBC)

Cofinancing agencies

Private Sector

  • Australia and New Zealand Banking Group (ANZ)
  • DBS Bank Ltd.
  • National Australia Bank Limited (NAB)
  • Westpac Banking Corporation

Receiving agencies

Private Sector

  • Luye Medical Group Pte. Ltd.

Loan description

ICBC contributions to a $295 million AUD syndicated loan to Luye Medical Group to finance its acquisition of Healthe Care Australia

Interest type•Unknown

Narrative

Full Description

Project narrative

In December 2015, Luye Medical Group Pte. Ltd. — a Singapore-incorporated entity of Chinese private company Luye Life Sciences Group — entered into an agreement to purchase Healthe Care Australia Pty Ltd — an Australian private hospital operator — from Australian private equity firm Archer Capital for a reported consideration of $938 million AUD ($688 million USD). Then, in 2016, a syndicate of five banks — including the Industrial and Commercial Bank of China (ICBC) — provided an approximately $295 million AUD syndicated loan to Luye Medical Group Pte. Ltd. to finance the acquisition of Healthe Care Australia. In addition to ICBC, the following banks contributed to this loan: Australia and New Zealand Banking Group (ANZ), DBS Bank, National Australia Bank Limited (NAB), and Westpac Banking Corporation. The acquisition was officially completed on April 18, 2016. At the time of the acquisition, Healthe Care Australia was Australia's third-largest private health care group and ran 17 medical institutions in Australia with around 2,000 hospital beds. Luye Medical Group repaid the loan in November 2019.

Staff comments

1. The individual contribution of the five lenders to this approximately $295 million AUD syndicated loan is unknown. For the time being, AidData has estimated the contribution of ICBC by assuming that each lender contributed an equal amount ($59,000,000 AUD) to the syndicated loan.