KUALA LUMPUR: KPJ Healthcare Bhd plans to divest its Indonesian hospital operations, Rumah Sakit Medika BSD (RSMBSD) as part of its asset rationalisation.
The company, through subsidiaries Crossborder Aim (M) Sdn Bhd (CAMSB) and Crossborder Hall (M) Sdn Bhd (CHMSB), entered into a share sale agreement (SSA) with PT Nusautama Medicalindo (PTNM) for the divestment.
The proposed disposal involves the sale of its 75 per cent stake in the hospital operating company PT KPJ Medica (KPJM).
"It will also involve the sale by CAMSB and CHMSB's 100 per cent stake of the hospital's land and building in PT Al-Aqar Bumi Serpong Damai (AABSD) to PTNM for RM150.2 million," said KPJ Healthcare.
KPJ Healthcare officer in charge Norhaizam Mohammad said as outlined in the company's strategic plans, KPJ Healthcare would be divesting its Indonesian businesses as part of its asset rationalisation.
Norhaizam said the exercise marked KPJ Healthcare's complete exit of the Indonesian market as hospital owners and operators.
"We look forward to utilising the proceeds from this divestment to strengthen our position in the healthcare sector.
"Our focus on enhancing our operational efficiency and expanding our core businesses domestically is perfectly aligned with this objective," she said.
Additionally, Norhaizam said KPJ Healthcare was actively seeking new opportunities in other markets to accelerate its growth.
"Looking ahead to 2023 and beyond, I am confident that we will continue to deliver sustainable value for our stakeholders," she added.
The SSA is expected to be completed by the second quarter of 2023.
Earlier this year, the company had exited its other Indonesian hospital operation, Rumah Sakit Medika Permata Hijau, where the process would be concluded by the second quarter of 2023.