Aditya Agarwal, Principal of Life Sciences and Healthcare from Roland Berger looks at ASEAN’s investment developments in healthcare.
The classic rules of road of investing in large brands, pursuing value creation with rigour, developing solutions that payers or patients shall be willing to pay for shall continue to hold true. However, with these new trends, investment themes and portfolios in SEA will likely be far more cohesive in their value proposition rather being a mosaic of assets serving short term financial objective.
Increased Demand, Focused On Domestic Middle Class
Pre-COVID, ASEAN’s healthcare investment landscape was heavily focused on traditional models like super specialty hospitals and distribution of high-end medical products. These investments largely were on assets focusing on a premium play such as hospitals serving cash rich patients and medical tourists.
With shift in government priorities, maturing universal coverage across markets, post-pandemic hyper-awareness and adoption of digital health tools – the investment landscape and priorities are shifting towards a more value based approach. From our recent conversations and deal support we see the emergence of a few themes: Despite the major decline in patient volumes in outpatient and elective surgeries, financial performance of non-medical tourism super-specialty hospitals was healthy in 2020-2021.
While medical tourism volumes are eventually expected to return, hospitals with a healthy mix of universal coverage patients and focusing on the needs of the middleclass, have become relatively more attractive. Improved universal coverage payment cycles and reimbursement rates have encouraged private hospital groups to increase focus on the middle-of the pyramid.
Read on for more —–> https://t.ly/VGUmN
What You Missed:
Assessing The Safety Level Of A CNC Machining Workshop
How Servo Technology Benefits Modern Automotive Industry
From Users For Users
heimatec’s Promise Of Monitoring Live-Tooling Performance
B2B Integration Crucial To Supply Chain
What Possibilities Will Southeast Asia’s Medtech Bring?
Kennametal New Tooling Innovations Deliver Enhanced Machining Performance & Versatility
Equator Gauging System Ensures AirTAC’s Pneumatic Component Quality
Perspectives On Clean Energy And Their Supply Chains
Southeast Asia: The Emerging Frontier for Electric Vehicles
WANT MORE INSIDER NEWS? SUBSCRIBE TO OUR DIGITAL MAGAZINE NOW!
Letter to the Editor
Do you have an opinion about this story? Do you have some thoughts you’d like to share with our readers? APMEN News would love to hear from you!
Email your letter to the Editorial Team at [email protected]