Ping An Insurance’s healthcare unit is likely to be the first of the insurance powerhouse’s four affiliates to be spun off in a Hong Kong initial public offering (IPO) this year.
According to Ping An, the Hong Kong Stock Exchange has given its approval to list Ping An Healthcare and Technology Co. Ltd soon. A 520-page IPO prospectus was made available on Tuesday, reported Caixin, but many of the listing’s details such as timetable, number of shares, and price, were omitted and not publicised.
In December, Japanese telecommunications and technology conglomerate Softbank invested US$400 million to gain a 7.41% stake in the company through its Vision Fund private equity arm. Caixin estimated the firm’s total value at US$5.4 billion.
Ping An Healthcare operates an online healthcare platform that offers medical and wellness services such as doctor consultations, a health mall, and other health management and wellness services. The platform’s monthly active users have reached 20 million, with a record number of daily online consultations exceeding 800,000 reached in December, according to the IPO prospectus.
Ping An Healthcare detailed its plans for the raised funds, with around 40% to be used for business expansion, 30% for investment and partnerships, 20% for research and development, and the remainder for general corporate purposes.
Three other Ping An units are expected to be spun off in the future: online wealth management platform Shanghai Lujiazui International Financial Asset Exchange Co., also known as Lufax; financial technology services provider OneConnect; and health care management firm Ping An Healthcare Management Co. Ltd.
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