Ping An plans IPO of health tech unit


HONG KONG • Ping An Insurance Group Co of China Ltd, China’s biggest insurer by market value, is planning a Hong Kong initial public offering (IPO) of its healthcare technology unit that could raise about US$2 billion (RM8.36 billion), people with knowledge of the matter said.

A listing of Ping An Healthcare Technology, which provides platforms used by hospitals, insurers and pharmacies, could take place as soon as next year, according to the people. The Chinese insurer is talking to potential advisors about the planned share sale, the people said, asking not to be identified because the information is private.

Ping An Healthcare Technology raised US$1.15 billion from investors including SoftBank Group Corp’s Vision Fund in a series A funding round announced in February.

It would join Good Doctor, a separate Ping An subsidiary that offers online medical consultations, in seeking to sell shares to fund expansion.

Good Doctor, which raised US$1.1 billion in a Hong Kong IPO in April, has fallen 31% from its offer price through Wednesday.

Deliberations are at an early stage, and details of the plan could change, the people said. A representative for Ping An declined to comment.

Any deal will add to the US$32.5 billion of first-time share sales in Hong Kong this year, data compiled by Bloomberg show. Ping An Medical & Healthcare Management Co, as the unit is formally known, provides services including expense control and medical- resource management.

Operating profit from Ping An’s technology units jumped eightfold in the first nine months of the year to 5.4 billion yuan (RM3.24 billion). They accounted for about 6% of total operating profit, surpassing contributions from Ping An’s brokerage arm and trust business.

Ping An Healthcare Technology covers the medical data of more than 800 million Chinese citizens.