- Region: Asia
- Machinery and Equipment
- Equity Participations
June 5, 2014
The Japan Bank for International Cooperation (JBIC; Governor: Hiroshi Watanabe) signed on June 4 a shareholders agreement with SECOM CO., LTD., Secom Medical System Co., Ltd. (Secom Medical System), Toyota Tsusho Corporation (Toyota Tsusho), and two Indian companies, VSK Holdings Private Limited (VSK)*1 and TAKSHASILA HOSPITALS OPERATING PRIVATE LIMITED (THO) as well as other parties for JBIC's acquisition of INR630 million of preferred stocks of THO.
This equity investment supports the operation of SAKRA World Hospital,*2 a private general hospital, in the southern Indian city of Bangalore through THO, established in April 2012 as a joint venture of Secom Medical System, Toyota Tsusho and VSK.
Secom Medical System has been conducting medical service business in Japan, including support for hospital operations. As demand for advanced medical services is foreseen to expand overseas, primarily in emerging countries, in the coming years, the company plans to conduct active overseas operations. Toyota Tsusho is also strengthening its medical service-related business by setting up a new section specializing in medical business and pharmaceuticals. This is the first general hospital operation project undertaken by Japanese companies in India. Thus, JBIC will support overseas business deployment of Japanese companies with the provision of risk money in local currency by utilizing its equity participation function, and thereby contribute to maintaining and strengthening the international competitiveness of Japanese industries. This project is also expected to help improve the quality of the local medical service with more comprehensive medical facilities. Further, this equity investment will support international deployment of Japanese medical technologies and services based on the policy of the Government of Japan ("Healthcare and Medical Strategy").
As Japan's policy-based financial institution, JBIC will continue to support overseas business deployment of Japanese companies, by drawing on its various financial facilities and schemes, including those meeting local currency funding needs and equity participation, for structuring projects and performing its risk-assuming function.
- *1 VSK is a major company under the Indian conglomerate Kirloskar Group.
- *2 SAKRA World Hospital was opened in March 2014 as a general hospital in Bangalore. In addition to having six core centers, including the cerebral neurology center and cardiology center, the hospital offers services in 17 specialties: internal medicine, otorhinolaryngology, radiology, rheumatology, anesthesiology, endocrinology/diabetes, ophthalmology, psychiatry, dermatology, respiratory medicine, and emergency care.