AC Health, the healthcare arm of the Ayala Group, announced Friday it is acquiring a majority stake in Cebu Velez General Hospital (CVGH), a 200-bed Level 3 hospital in Cebu City.
The deal, made through its subsidiary Healthway Medical Network, is part of AC Health’s strategy to expand its footprint across the Philippines.
“For more than 70 years, CVGH has served generations of Cebuanos with patient-centered care and medical excellence,” said James Velez Ting, CVGH assistant administrator, in a statement.
“Partnering with AC Health allows us to strengthen this legacy while expanding our reach and capabilities,” said Ting.
CVGH, which began as a small clinic in 1947, is now one of Cebu’s most respected hospitals.
The acquisition follows a recent investment from Singapore-based ABC Impact, which committed to a 16-percent minority stake in AC Health.
The funding will support AC Health’s goal to grow its network to at least 10 hospitals, 300 clinics and 1,150 pharmacies by 2027.
“Cebu is an important market for us at AC Health, and we are deeply grateful to the Velez family for their trust and confidence,” said AC Health president and chief executive Paolo Borromeo.
Healthway Medical president and chief executive Jaime Ysmael said the partnership would elevate healthcare delivery in the region and enhance access to quality services for more Filipinos.
Healthway Medical operates a network of multi-specialty clinics, ambulatory centers and full-service hospitals.
Fortman Cline Capital Markets served as the financial advisor to CVGH and its shareholders in the transaction.
