KUALA LUMPUR: LYC Healthcare Bhd
has completed the acquisitions of a medical aesthetic clinic, a beauty and wellness centre and three dental clinics under the KL Dental brand.
In a statement, LYC said its 60% indirect owned subsidiary LYC Beauty & Wellness Sdn Bhd now has a 100% stake in Tao Global Ventures Sdn Bhd, which was acquired for RM4mil.
Tao Global owns and operates a medical aesthetic clinic and beauty and wellness centre located in Bandar Sri Damansara known as Dr D Clinic and iBody by Dr D.
Meanwhile, the three KL Dental clinics are wholly owned by LYC’s 70% indirect owned subsidiary, LYC Dental Group Sdn Bhd.
The clinics were purchased for a total of RM3.2mil.
LYC managing director cum group chief executive officer David Sui Diong Hoe said the acquisitions were in line with its strategic plan of expanding its footprint in the healthcare and wellness industry.
He said demand for medical aesthetics and dental services would continue to rise driven by rising affluence and a growing population.
“The founding doctors will remain as shareholders and continue working in these clinics, which will align the interests in growing the businesses together. We will leverage on the doctors’ proven track record and capabilities as well as strong relationships built with patients in expanding our market footprint across new locations. Advancements in medical technologies and growing healthcare tourism present ample opportunities for us to capitalise on the attractive prospects ahead.”
LYC said the acquisitions were earnings accretive and expected to contribute positively to LYC’s financial performance.
“The acquisition of Tao Global comes with a 2-year annual profit guarantee of RM500,000 for the financial years ending March 31, 2024 and 2025.
“The three dental clinics recorded an aggregate profit after tax of RM500,000 for the 12-month financial period ended Dec 31, 2021,” it said.
