International Finance Corporation and Mitsui to invest c.US$60 million in Singapore-based MiCare Health Technologies

MiCare HealthTEC Holdings Pte Ltd, a subsidiary of Zuellig Pharma and a leading medical claims administrator in the region, has announced that the International Finance Corporation (IFC), a member of the World Bank Group, and Mitsui & Co. (Asia Pacific) Pte. Ltd., a subsidiary of Mitsui & Co, will be investing c.US$60 million in the company. Zuellig Pharma will remain as MiCare's largest shareholder and MiCare will continue to be led by its Founder and Group CEO, Moses Hee.

The strategic investment will be used to fund MiCare's expansion in key Southeast Asian markets including Indonesia and Vietnam as well as to set up a new regional headquarters in Singapore. Baker McKenzie were the appointed legal advisors for this investment deal.

MiCare is a managed care organisation ("MCO") that administers, processes and manages medical claims of policyholders and members on behalf of insurance companies and self-insured corporate clients. The company also builds applications linking key players in the healthcare sector such as doctors, patients, hospitals, clinics and pharmacies, to facilitate the seamless and efficient management of medical claims. MiCare has more than 13 million members in three countries – Malaysia, Thailand and the Philippines – and is looking to continue to grow and expand in the region.

"We have come a long way since 2006, when MiCare started in Malaysia as a third-party administrator of medical claims with just 200 members. Thanks to the perseverance and single-minded focus of a committed team, today our member base has grown to more than 13 million in three countries," said Moses Hee, Founder and Group CEO, MiCare.

 "As we look forward to embarking on MiCare's next phase of growth, we are very excited to welcome IFC and Mitsui as strategic partners to the MiCare family. This investment will help us continue enhancing our client offerings by strengthening our digital capabilities and enabling us to introduce innovative solutions through partnerships with healthcare ecosystem players such as pharma and telemedicine companies. This is in line with our mission to help manage escalating medical costs and improve healthcare affordability and outcomes for patients. We will also expand into new geographies in ASEAN to reach underserved communities such as in Indonesia and Vietnam to make healthcare more accessible," added Hee.

MiCare focuses on three pain points in addressing rising healthcare costs – fraud, waste and abuse. The company has vast experience in managing and adjudicating medical claims using a robust digital platform empowered by an AI fraud detection engine and predictive analytical tools. It also provides wellness and disease management programmes including partnering with pharma companies on various chronic disease management programs, providing occupational health services, digital solutions, telemedicine and data analytics services.

"MiCare has always been a key pillar of growth for Zuellig Pharma and this expansion is a key step towards our goal in becoming a fully integrated healthcare services business that provides value by acting as a connector within the healthcare ecosystem. This collaboration also signals an acceleration of growth in an area of increasing importance to all stakeholders and broadens our ability to fulfil our mission of making healthcare more accessible in the region," said John Graham, CEO Zuellig Pharma.

"Our investment in MiCare will help bring robust medical claims administration processes and advanced proprietary digital tools to underserved markets in Southeast Asia, supporting insurers and providers with the technological tools needed for more efficient and effective healthcare delivery," said Rana Karadsheh, Regional Industry Director for Manufacturing, Agribusiness and Services, Asia Pacific at IFC. "The transaction marks IFC's first investment in the MCO sector and demonstrates our commitment to supporting innovative ways of improving healthcare service delivery using digital technologies. We look forward to supporting the company's growth and development in the region."

"Health and wellness is a key part of our growth strategy and we aim to build a high-quality wellness service platform to meet growing demand in Asia. Our investment in MiCare complements Mitsui's portfolio of healthcare businesses in this region and represents our commitment to supporting the development of high-quality, cost-efficient and sustainable healthcare systems," said Koji Nagatomi, CEO, Mitsui & Co. (Asia Pacific).

MiCare currently processes medical claims of approximately US$400 million annually. The company manages and administers medical claims for over 45 insurers in the region, serving more than 6,500 corporate clients in over 5,000 hospitals, clinics and pharmacies.

About MiCare

Headquartered in Singapore, MiCare Healthtec Holdings Pte Ltd ("MiCare"), a subsidiary of Zuellig Pharma, is a leading managed care organisation with over 15 years of experience in medical claims adjudication, benefits management and providing call centre services for payors (including insurers and self-insured corporates), connecting its stakeholders via its state-of-the-art digital platform. MiCare also provides wellness and disease management programmes including partnering with pharma companies on various chronic disease management programmes, providing occupational health services, digital solutions, telemedicine and data analytics services. Through its comprehensive suite of services, MiCare enables payors to manage healthcare costs, track healthcare expenditures, minimise administrative work, identify fraud, wastage and abuse via its AI enabled claims adjudication system while ensuring the provision of effective, high quality care.

MiCare manages and administers medical claims for over 45 insurers in the region, serving more than 6,500 corporate clients in over 5,000 hospitals, clinics and pharmacies. To date, the company has helped administer and manage medical claims records for more than 13 million members.

About IFC

IFC—a member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2020, we invested $22 billion in private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity.

About Mitsui

Mitsui has over 5,600 employees and deploys talent around the globe to identify, develop, and grow businesses in collaboration with a global network of trusted partners. Mitsui has built a strong and diverse core business portfolio covering the Mineral and Metal Resources, Energy, Machinery and Infrastructure, and Chemicals industries.

Leveraging its strengths, Mitsui has further diversified beyond its core profit pillars to create multifaceted value in new areas, including innovative Energy Solutions, Healthcare & Nutrition and through a strategic focus on high-growth Asian markets. This strategy aims to derive growth opportunities by harnessing some of the world's main mega-trends: sustainability, health & wellness, digitalization and the growing power of the consumer.

Mitsui has a long heritage in Asia, where it has established a diverse and strategic portfolio of businesses and partners that gives it a strong differentiating edge, provides exceptional access for all global partners to the world's fastest growing region and strengthens its international portfolio.