The Asian Development Bank’s (ADB) Board of Directors has approved an equity investment of up to $60 million to OrbiMed Asia Partners III, LP (OAP III) to further improve quality and coverage of healthcare companies in Asia and the Pacific. OAP III is managed by OrbiMed Advisors LLC (“OrbiMed”).
“High-quality and affordable healthcare is a crucial need for people in Asia and the Pacific, and there is tremendous potential for private investment across the region,” said Janette Hall, ADB’s Director of the Private Sector Investment Funds and Special Initiatives Division. “ADB, through the new equity investment, will continue helping healthcare companies and related sectors for improving the quality of healthcare in the region — from pharmaceuticals to diagnostics, medical devices, and healthcare services.”
The $60 million equity investment by ADB to OAP III is a continuation of its strategy to increase private sector investments in healthcare. This investment follows ADB’s similar commitment in 2014 to the $325 million OrbiMed Asia Partners II, LP Fund.
OAP III, a closed-end private equity fund, will target investments in 15 to 20 healthcare companies operating in the People’s Republic of China and India. A smaller portion of the fund will target companies in Southeast Asia. Investment sizes will typically range from $10 million to $75 million per company. Healthcare companies targeted for investment will have a focus on improving healthcare affordability, access, or quality to address large unmet medical needs.
ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB is celebrating 50 years of development partnership in the region. It is owned by 67 members—48 from the region. In 2016, ADB assistance totaled $31.7 billion, including $14 billion in cofinancing.
OrbiMed is a globally-recognized leading healthcare investment firm with over $14 billion in assets under management. OrbiMed invests across the healthcare industry, from start-ups to large multinational corporations, utilizing a range of private equity funds, public equity funds, and royalty/credit funds. OrbiMed maintains offices in Shanghai, Mumbai, New York City, San Francisco, and Herzliya. OrbiMed seeks to be a capital provider of choice, providing tailored financing solutions and global team resources and support to help build world-class healthcare companies.