Sojitz Invests in Leading Primary Healthcare Provider in Asia & Oceania
Sojitz Corporation (“Sojitz”) has invested in Qualitas Medical Limited (“Qualitas”), a leading provider of primary healthcare services in the Asia and Oceania region, through an injection of new capital into the business. The capital injected will be used by Qualitas for funding of future growth opportunities. Through its investment into Qualitas, Sojitz will be able to gain exposure to the attractive primary healthcare market in the rapidly growing Asia and Oceania region.
Qualitas operates a network of some 300 primary care clinics, dental clinics and medical imaging centres across Malaysia, Singapore, and Australia. With over 400 physicians amongst the group’s staff of more than 1,700, Qualitas serves some 4,000 corporate businesses and insurance companies, providing outpatient medical services with approximately 2.8 million patient visits annually.
In recent years there has been an expansion of primary healthcare as general practitioners increasingly provide medical care and health consultations to families and communities on an out-patient basis, referring patients to hospitals for advanced medical treatments as necessary. Qualitas has over 20 years of experience in the primary healthcare field, providing a wide range of healthcare services to address patients’ health issues and diseases through preventative care, treatment, and rehabilitation as part of its gatekeeper role in healthcare within the community. The services Qualitas offers include management of acute and chronic illnesses, medical examinations, vaccinations and other preventative medicine, corporate services such as occupational physician services, and minor surgeries, comprehensive dental care and medical imaging services. Recently, Qualitas has expanded its offerings to include Covid-19 testing for private individuals and staff of corporate clients, following the outbreak of the Covid-19 pandemic in early 2020.
As lifestyle diseases increase globally due to population growth, aging societies, and economic development, medical needs are shifting from a hospital-centric model to an outpatient and daycare-centric model. The role of primary healthcare will continue to expand to meet the increased demand of outpatient services due to the increasing healthcare costs, ageing populations and also in response to technological developments in preventative care and early diagnostic services. Qualitas has operations in Malaysia, Singapore, and Australia, and the market size of the private primary care sector in these 3 countries has grown to USD 33.3 billion in 2020, recording an exceedingly high market growth rate of 7.8% over the past five years*.
Qualitas plans to expand in its existing markets as well as new markets such as Vietnam and other emerging markets. In addition, Qualitas will broaden its healthcare offerings based on the digital transformation of healthcare services. Sojitz will contribute to Qualitas’ business expansion by leveraging its regional network and expertise.
In April 2017, Sojitz consolidated its healthcare related business internally and established a new specialized team to strengthen its projects in the healthcare sector. As medical expenses rise in response to aging populations and changes in disease patterns, Sojitz seeks to provide solutions to social problems such as shortages in medical staff and hospital beds, promote healthcare business creation globally, and contribute to the realization of a healthy and prosperous society.
* Source: Frost & Sullivan (market size includes total private GP clinics and dental clinics in Malaysia and Singapore, as well as private GP clinics, dental clinics, and diagnostic imaging services in Australia. The growth rate is the compound average growth rate for the 5-year period from 2016 to 2020.)