ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronEye IconIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintTitle ChevronIcon Twitter
Business deals

Quadria Capital looks to exit from Indonesian drugmaker: sources

Carlye Group said to be sole bidder for 30% stake in Soho Global Health

Soho Global Health produces generics, natural medicines, medical devices and consumer products.   © Reuters

SINGAPORE/JAKARTA -- Quadria Capital is in late-stage talks with a global private equity firm to sell its stake in Indonesian pharmaceutical company Soho Global Health, sources familiar with the development told DealStreetAsia.

The health care-focused equity firm, which operates out of Singapore and New Delhi, has been approached by a slew of investors, including CVC Capital Partners, General Atlantic and the Carlyle Group.

At this stage, it is believed that Carlyle is the sole bidder for the stake, sources said.

A Carlyle spokesperson declined to comment when contacted by DealStreetAsia, while Quadria Capital, CVC, General Atlantic and Soho Global Health did not respond to inquiries.

Quadria Capital acquired a 30% stake in Soho in 2015 from the family of local entrepreneur and founder Tan Eng Liang, who still own the remaining stake.

While Quadria's original investment amount is unknown, the firm is understood to be "asking around 16x of Soho's annual EBITDA," said one of the sources.

In September 2019, Tan Eng Liang told DealStreetAsia that Soho had been approached by a number of global private equity firms and pharmaceutical companies looking to buy a stake in the company. But Tan indicated that the company preferred to deal with a PE firm as he and his family want to run the business.

Prior to that in the same year, Soho made headlines for appointing Citigroup, Mandiri Sekuritas and CLSA to ready a listing that would put it on par with listed Indonesian peers like Kalbe Farma, Kimia Farma and Tempo Scan Pacific.

Sources say Soho's IPO is currently on hold. It is believed preparations will restart once Quadria closes the deal.

Founded in 1946, Soho has about 2,500 employees, with coverage extending to over 41,000 locations. The company booked 2.4 trillion rupiah ($175 million) in net sales in the first half of 2019, with net EBITDA of 176 billion rupiah.

Soho produces generics, natural medicines, medical devices and consumer products. As regards over-the-counter drugs, Soho is Indonesia's fourth-largest and Southeast Asia's 13th largest company.

Quadria Capital recently raised about $48 million for a parallel fund that will invest alongside Quadria Capital Fund II, according to the firm's latest U.S. Securities and Exchange Commission filing.

This brings the total fundraiser for the parallel fund and the main fund at close to $500 million.

DealStreetAsia is a financial news site based in Singapore focused on corporate investment activity in Southeast Asia and India. Nikkei recently acquired a majority stake in the company.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Try 1 month for $0.99

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends October 31st

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to Nikkei Asia has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more