Vietnam's healthcare landscape is witnessing notable developments through recent mergers and acquisitions (M&A) deals in the hospital sector. KKR & Co. Inc has replaced Singapore's investment firm Heliconia Capital as the largest shareholder of Medical Saigon Group, one of the largest eye hospitals in Vietnam. Additionally, Thomson Medical Group has recently completed the official acquisition of FV Hospital following a share purchase deal of 381.4 million USD with the Singapore-based Quadria Capital. FV Hospital, established in 2003, represents one of Vietnam's most prominent healthcare facilities.
In June last year, Research and Market speculated that Vietnam’s healthcare market is poised to grow by 6.2 percent annually, reaching a value of 11.23 billion USD by 2028. Vietnam has also been actively fostering an investor-friendly environment in the healthcare sector. It continues to maintain significant investment in healthcare, evident through its healthcare expenditure reaching approximately 18.5 billion USD in 2022. This accounts for 4.6 percent of the country's GDP.
Vietnam's healthcare sector’s potential also lies in demographic shifts in society. According to McKinsey's report in October 2021, the elderly population in Vietnamese society is expected to rise significantly, with the number of people aged 60 and over projected to increase by five million, accounting for more than 17 percent of the total population in the country. The report also indicates that spending by the elderly is forecasted to triple in the next decade, coupled with rising consumer population which is projected to make up 70 percent of the population by 2030, indicating substantial growth opportunities for investors in the sector.
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