Singapore-based Parkway to Set Up 300-bed Hospital in Taiwan

Taipei, Jan. 9, 2008 (CENS)--As part of its expansion project in the global medical-care market, Singapore-based Parkway Health Group reportedly plans to invest in Taiwan to set up a 300-bed private hospital, according to industry sources.

The sources said that Parkway has called upon local Department of Health (DOH) and Council for Economic Planning and Development (CEPD) under the Executive Yuan (Cabinet) and received positive responses. The sources said that the Singapore-based group is not expected to intensify competitions in local medical-care market, but it will help introduce international capitals and medical-care management expertise into the island.

Wu Ming-yen, secretary general of Taiwan Nongovernmental Hospitals and Clinics Association (TNHCA), pointed out that Parkway originally planned to set up a new hospital in Taiwan but the local DOH hoped the group to acquire an established one due to the close-to-full medical-bed quota on the island.

According to CEPD's report, Parkway is the largest listed private firm in Singapore operating 14 hospitals (with total bed number of 3,075), of which only three are in Singapore. Parkway hospitals boast such departments as cardiac surgery, cancer, organism transplantation, lever transplant etc. The group was established in 1995 and had revenue of US$600 million in 2006 and US$440 million in the first three quarters of 2007.

Industry insiders pointed out Parkway is seeking to acquire a private hospital with around 300 medical beds and located in downtown Taipei. Some hospitals meet Parkway's requirements, including Chun Shan Hospital, Country Hospital, Pojen General Hospital etc.

It is estimated that each medical bed requires investment of NT$6 million (US$184,615) in Taiwan. If Parkway buys an established hospital and then re-installs 300 beds and new medical equipment, the group would have to invest between NT$1.8 billion and NT$2 billion (US$55.38 million and NT$61.54 million).

If the project goes smoothly, the sources said, Parkway is expected to utilize the high-quality, reasonably-priced medical services in Taiwan to create a cardio-disease treatment center in the internationalized medical group.

Quite a few hospitals in Taiwan have been actively internationalizing so as to grab more business opportunities from foreign patients, including JCI (Joint Commission International)-approved Ming-Sheng General Hospital, Koo Foundation Sun Yat-Sen Cancer Center, Wan Fang Hospital etc.