Singapore/Dubai/Boston/Munich, 01 March 2021: TVM Capital Healthcare, a global specialist healthcare private equity firm operating in emerging markets, announces the successful sale of its portfolio company Cambridge Medical and Rehabilitation Center (“CMRC”) to UAE-based publicly traded investment company, Amanat Holdings PJSC. CMRC is the leading post-acute care and rehabilitation services provider in the MENA region. TVM Capital Healthcare has a long track record of successfully investing in and growing specialty care companies with investment and operation teams in the MENA region and Southeast Asia.
The sale of CRMC represents the third successful exit of the $134 million funds managed and arranged by TVM Capital Healthcare. Distribution to investors of Paid-In capital (DPI) amounts to 2.4 times funds invested to date, with two companies still in the portfolio. Compounded returns amount to 28.0% Gross IRR / 19.7% Net IRR, a performance in the Upper Quartile of similar vintage funds, benchmarked against Cambridge Associates Emerging Markets PE and VC Funds.
As a highly active growth capital investor, TVM Capital Healthcare has invested and grown CMRC to be a sustainable healthcare business which continues to have a significant social impact on the communities it serves. CMRC is fully accredited by some of the world’s top clinical excellence accreditation organizations, such as Joint Commission International (JCI) and CARF and is considered a pioneer in post-acute services in its region. CMRC today has a capacity of 250 licensed beds and out-patient facilities. More recently during the global Covid-19 pandemic, CMRC demonstrated the benefits of specialist care outside of hospitals, relieving the public health system by unblocking acute beds and delivering quality outcomes for the post-acute patients it took on.
Dr. Helmut Schuehsler, Chairman and CEO of TVM Capital Healthcare, commented: “In 2010, we identified a major unmet need in the region’s healthcare sector. Through the first long-term care company we invested in – ProVita International Medical Center, exited in 2015 with a 10.7x return on capital invested – and two years later in 2012, through CMRC- we introduced highly specialized long-term medical care, rehabilitation, and outpatient services. Today, we are extremely proud of the value we created with CMRC for patients, their families, the local healthcare system, and our investors – by building a centre of healthcare excellence leveraging our 35 plus years of global healthcare experience, our global network, and the expertise of alliance partners such as Spaulding Rehabilitation Network, official teaching partner of the Harvard Medical School Department of Physical Medicine and Rehabilitation.”
Hoda Abou-Jamra, Founding Partner of TVM Capital Healthcare and Managing Director Southeast Asia, added: “Our early and continued focus on installing quality and a comprehensive ESG framework has enabled us to build a sustainable and successful healthcare company that not only has created more than 500 jobs to date but also has significantly supported its community. Our team in Southeast Asia is transferring our post-acute care, and other specialty care expertise, to selected Southeast Asian markets, where we see similar demand.”
Carl Stanifer, Operating Partner of TVM Capital Healthcare and current Chairman of CMRC, said: “I am proud to have been part of the CMRC journey in becoming one of the leading post-acute care providers in the region, which perfectly proof-points our investment strategy. Looking forward, Southeast Asia will offer TVM Capital Healthcare ample opportunity to execute on its post-acute care expertise. We see promising investment opportunities there in meeting specific, underserved healthcare needs in certain segments and areas in the region where the firm potentially could add operational value.”
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About TVM Capital Healthcare
TVM Capital Healthcare is an emerging markets-focused healthcare private equity investment firm. The firm invests growth capital in healthcare companies with a focus on specialized healthcare services, digital health solutions, pharmaceuticals, medical devices, and diagnostics. Investment and operating partners have strong international track records in healthcare M&A and operations. Headquartered in Singapore and Dubai, with representative offices in Munich and Boston, the firm partners with Middle East and Southeast Asia management teams to build sector champions and selectively backs companies from regions such as Europe or North America with expansion projects into the firm’s target geographies. TVM Capital Healthcare’s investment approach combines strong commercial value creation and returns with responsible investing and a comprehensive ESG framework to build impactful, sustainable, and well-governed companies, delivering excellent healthcare services, with continued growth and job creation, in a fair and diverse workplace, with high business ethics.