CBC Group Surpasses Target for New China-Focused Fund

Healthcare private equity investor CBC Group has exceeded its target for a new fund to make middle- and late-stage growth investments and buyouts in China and other parts of Asia, collecting almost $1.59bn for the pool.

The firm plans to use C-Bridge Healthcare Fund V to make 10 to 14 control equity investments in healthcare services providers, pharmaceutical and medical technology companies in Asia, according to public documents from the $21.57bn Orange County Employees Retirement System in California.

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Two years into the global COVID-19 pandemic, private equity (PE) interest in healthcare and life sciences remains at an all-time high. 

The healthcare sector has seen enormous enthusiasm and infusion of funds during the pandemic, and the pace of transactions shows no signs of slowing anytime soon.

Several factors have contributed to this highly active market. A brief transaction slowdown in early 2020 resulted in a backlog of available deals and extra dry powder. Simultaneously, COVID-19 spurred demand for digital health solutions and opened doors for new technology to improve care delivery, access, and outcomes across the board. The pandemic also dramatically underscored the value of health data, clinical research and biopharma development.

As the pandemic turns endemic and new variants emerge, PE investors are putting even more focus on these critical health and life sciences sectors. Like any market, healthcare will continue to experience fluctuating demand, but if the challenges of the past two years have proved anything, it’s that healthcare is a resilient investment.

Source: Wall Street Journal

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