Trading house Marubeni allies with Indonesia’s Lippo in healthcare business

26, Feb. 2020

Photo by Marcelo Leal on Unsplash
Photo by Marcelo Leal on Unsplash

JAKARTA, NNA – Major Japanese trading house Marubeni Corp. has allied with Indonesian conglomerate Lippo Group to enter healthcare business in Southeast Asia’s most populous country, which has an underdeveloped medical infrastructure.

The strategic partnership includes the trader’s acquisition of about a 5 percent stake in PT Siloam International, a leading hospital operator in the country, the trader said in a statement on Tuesday.

Marubeni purchased the share from a minority shareholder for an undisclosed sum on Feb. 19, a spokesman in Tokyo told NNA on Tuesday. The ownership stake of PT Lippo Karawaci, Siloam’s parent company, remains unchanged, the statement said.

Masayuki Omoto, chief operating officer of Marubeni’s Next Generation Business Division, said in the statement the Tokyo-based firm expects a long term partnership with Lippo and Siloam. “We are excited to be taking part in growing and improving the healthcare sector in Indonesia.”

Siloam, established in 1996, runs 36 hospitals with over 7,557 beds and more than 13,000 doctors and nurses in the country as of last September, according to the statement.

The two sides are eyeing business opportunities in the Indonesian healthcare infrastructure and services sector, including investments in pharmaceuticals, labs and other healthcare-related industries, the statement said.