Indonesian conglomerate Astra International announced that it had acquired Heartology Cardiovascular Hospital, one of the largest private cardiac centres in the country, through its subsidiary PT Astra Sehat Nusantara.
The acquisition, valued at 643 billion Indonesian rupiahs (about $41 million), is part of Astra’s expansion in the healthcare sector. It brings its total investment in the sector to about $275 million, per the announcement.
Astra said the acquisition aligns with Indonesia’s increasing demand for high-quality healthcare services, driven by its large population and growing economy.
“We hope that investment in the Heartology Cardiovascular Hospital could contribute to the provision of quality healthcare services for the community, especially to enhance the quality of treatment for critical illnesses in Indonesia,” said Astra’s president director Djony Bunarto Tjondro.
Astra made its entry into the healthcare sector in 2021 through an investment in healthcare platform Halodoc followed by Hermina Hospital in 2022.
Heartology Cardiovascular Hospital has treated over 1,500 heart cases, including 1,000 interventions and 400 cases of heart arrhythmia.
Astra, on the other hand, is one of Indonesia’s largest public companies, comprising 291 subsidiaries, joint ventures, and associate companies, supported by more than 200,000 employees.
In the first three months of 2024 (Q1 2024), Astra posted a net profit of 7.5 trillion rupiah, 14% lower compared to the same period last year at 8.7 trillion rupiah.
The performance was dragged down mainly by its heavy equipment and mining as well as automotive businesses. It recorded a 2% drop in net revenue to 81.2 trillion rupiah in Q1 2024 from 83 trillion rupiah in Q1 2023.
In May, Tjondro said Astra was planning to develop electric vehicles (EVs) more aggressively in the next two years as it works on ramping up its infrastructure and ecosystem. He said the company has a 50-56% market share in the automotive industry which shows the strength of Astra’s products in Indonesia.
