LPKR in Late-Stage Talks to Sell 29% Stake in Siloam to CVC Consortium Including GIC, Temasek at ~$2.4B Valuation; PE Firm to Transfer Existing 26% Stake to New Fund

Relevant Document: FY23 Presentation A CVC Capital Partners-led consortium including Singapore funds GIC and Temasek is in advanced talks to acquire shares in PT Siloam International Hospitals Tbk, including from majority shareholder PT Lippo Karawaci Tbk., or LPKR, in a deal that would value the Indonesian hospital chain at around $2.4 billion, said a source with direct knowledge of the matter. The size of the transaction is still being discussed, though it will likely include LPKR selling a 29% stake in its 58.07%-owned Siloam, the source said. LPKR would use part of the planned proceeds to repay debt, said the source. As part of the transaction, CVC is transferring its existing 26.18% stake in Indonesian hospitals operator Siloam to a new fund managed by the European private equity firm, as the fund currently holding the stake has reached the end of its life, said the source. As recently as an April 2023 earnings call, LKPR CEO John Riady – in responds to questions stemming from media reports about whether it had plans to buyback CVC’s Siloam stake – said at the time that the parent company continued to buy in small amounts of share in the hospital operator when the[...]