KUALA LUMPUR (Oct 28): Private healthcare group Asia OneHealthcare Bhd (A1H), whose portfolio includes Subang Jaya Medical Centre and the Columbia Asia network, has filed for an initial public offering (IPO) on Bursa Malaysia to fund hospital expansion, maintenance capital expenditure and debt repayment.

The IPO comprises up to 4.38 billion shares, including an offer for sale of up to 3.86 billion existing shares and a public issue of 521.1 million new shares, according to the group’s draft prospectus lodged with the Securities Commission Malaysia.

The offering consists of an institutional offering of 3.77 billion shares, representing 22.4% of the enlarged issued share capital, and a retail offering of 615.49 million shares, representing 3.7%.

The institutional offering comprises 3.32 billion existing shares and 445.38 million new shares, and is open to Malaysian and foreign institutional and selected investors, including Bumiputera investors approved by the Ministry of Investment, Trade and Industry Malaysia. The institutional price will be determined through bookbuilding.

The retail offering includes 539.77 million existing shares and 75.71 million new shares, and will be allocated to eligible directors, employees of the group and its subsidiaries, persons who have contributed to the group’s success, as well as the Malaysian public.

Together, the offerings represent 26.1% of A1H’s enlarged issued share capital.

A1H was incorporated in March 1994 as Asia Pacific Healthcare Corporation Sdn Bhd. It subsequently changed its name to Columbia Pacific Healthcare Sdn Bhd in 1995, Columbia Asia Healthcare Sdn Bhd in 2007 and Asia OneHealthcare Sdn Bhd in May 2024. It was converted into a public company on Sept 22, 2026.

The group operates 23 hospitals — 22 in Malaysia and one in Vietnam — with a total licensed bed capacity of 2,632 and built bed capacity of 3,057.

The hospitals include Subang Jaya Medical Centre, which serves as its quaternary hospital; specialist hospitals such as ALTY Orthopaedic Hospital, Beacon Hospital, Cardiac Vascular Sentral Kuala Lumpur, Hospital Picaso and Northern Heart Hospital Penang; as well as secondary and tertiary hospitals including Ara Damansara Medical Centre, Bukit Tinggi Medical Centre, ParkCity Medical Centre and hospitals under the Columbia Asia network.

The group also operates recovery and rehabilitation facilities, including Columbia Asia Extended Care Hospital Shah Alam and TAGS Chiropractic & Rehabilitation centres.

A1H is backed by Malaysian tycoon Tan Sri Quek Leng Chan’s Hong Leong Group and US private equity firm TPG through HLT Healthcare Holdings Singapore Ltd (formerly known as Asia OneHealthcare Pte Ltd). The entity’s holdings in A1H are expected to be diluted to 70% following the IPO from 73.9% currently.

HLT Healthcare is principally an investment holding company with investments in entities that own and operate private healthcare facilities in Malaysia, Indonesia and Vietnam, including hospitals, medical centres and specialist healthcare institutions.

A1H said proceeds from the public issue will be used to finance selected projects under its brownfield expansion plan at existing hospitals, including those in Seremban and Iskandar Puteri, as well as Tebrau, where a potential new medical campus is being considered. These projects are expected to be undertaken within 36 months from the date of listing.

The proceeds will also fund recurring capital expenditure to maintain hospital facilities, infrastructure, medical equipment and information technology systems.

In addition, A1H intends to use part of the proceeds to partially repay RM300 million in revolving credit facilities obtained from RHB Bank Bhd, CIMB Bank Bhd and AmBank Bhd to facilitate its pre-IPO distribution.

The facilities carry an interest rate of the Kuala Lumpur Interbank Offered Rate (Klibor) plus 0.5% per annum, with no fixed maturity date and an availability period of one year from the initial utilisation date. The group expects to make the repayment within 12 months of its listing.

In terms of its dividend payout ratio, A1H targets up to 30% of its consolidated profit after tax and minority interests (Patami) for each financial year, subject to its working capital, maintenance capital expenditure and committed capital requirements..
 
For the financial year ended March 31, 2026 (FY2026), A1H recorded a net profit of RM344.37 million, compared with a net loss of RM85.85 million a year earlier. Revenue rose 13.4% to RM3.29 billion from RM2.9 billion.

Maybank Investment Bank Bhd is the principal adviser, joint lead global coordinator, bookrunner and underwriter, as well as the sole managing underwriter for the IPO.