IHC to acquire related firm Healthway

International Healthway Corporation (IHC) on Friday said it would buy all the shares of Healthway Medical Corporation through a scheme of arrangement.

IHC will purchase the shares of Healthway at S$0.10 apiece. It will, in turn, pay for this by alloting and issuing new IHC shares at S$0.45 apiece.

If the scheme is effective, the company will become a wholly owned subsidiary of IHC and Healthway shareholders will become shareholders of IHC.

Fan Kow Hin is a controlling shareholder of both Healthway and IHC, while Aathar Ah Kong Andrew is a controlling shareholder of IHC and a substantial shareholder of Healthway.

Substantial shareholders of Healthway and their associates, who collectively hold approximately 34 per cent interest in the company, will abstain from voting on the scheme.

The two companies said the scheme is an opportunity for Healthway shareholders to diversify their investments and gain access to a broader healthcare business including facilities-based business. IHC has a portfolio of medical assets across the PRC, Malaysia, Japan and Australia. The medical assets include hospital and nursing facilities.

If the scheme is approved by shareholders, Healthway will be delisted from Catalist.