TPG, Qatar Investment Authority-led consortium to take Kangji Medical private in $1.4 billion deal.

A consortium led by TPG and Qatar Investment Authority has offered to buy out Hong Kong-listed Kangji Medical Holdings in a $1.4 billion deal, valuing the company at $11.2 billion. The offer price of $9.25 per share represents a 9.9% premium to the last closing price. The consortium, which holds 75% of Kangji Medical, plans to delist the company from the Hong Kong stock exchange following the deal.

A consortium led by TPG Inc. and Qatar Investment Authority has proposed to acquire Hong Kong-listed Kangji Medical Holdings Ltd. in a deal valuing the Chinese medical device maker at approximately HK$11.2 billion ($1.4 billion) [1]. The offer, announced on Tuesday, represents a 9.9% premium to the company’s last closing price before trading was suspended on July 18, 2023.

The consortium, which includes Kangji Medical’s founders Ming Zhong and Yinguang Shentu, has offered to pay HK$9.25 in cash for each Kangji share. Currently, the consortium holds about 75% of Kangji Medical’s shares. Following the transaction, the buyers plan to delist the company from the Hong Kong stock exchange, pending regulatory and shareholder approvals.

Kangji Medical raised approximately HK$3.6 billion in its 2020 initial public offering, which was one of the largest healthcare IPOs in Hong Kong that year. Despite this successful listing, the company’s shares have traded below their IPO price for the past two years.

References:
[1] https://ca.investing.com/news/stock-market-news/tpg-qialed-consortium-to-take-kangji-medical-private-in-14b-deal--bloomberg-93CH-4153264