SINGAPORE, August 10, 2023. Quadria Capital (“Quadria”), one of Asia’s largest healthcare-focused private equity firms, has closed a revolving credit facility of up to $200 million, to finance its investments in healthcare, pharmaceutical and diagnostic assets that improve access to healthcare across South Asia and Southeast Asia.
The facility is structured such that loans drawn for the purpose of its investments may be eligible to be classified as “social loans” in accordance with the Social Loan Principles as published by the Loan Market Association, Asia Pacific Loan Market Association, and Loan Syndications and Trading Association following a review by ING Bank N.V. (“ING”), the facility’s social coordinator. Investments are considered eligible as social loans for the facility if they improve access to essential services such as healthcare, support food security and sustainable food systems, and socioeconomic advancement, among other criteria. Through this facility, Quadria will be able to fund investments more efficiently and set investee companies on the path to achieving their business goals and making a tangible impact on society.
Quadria recently used $77 million from the facility for its recent investment in India’s Maxivision Eye Hospital as it met a principal social loan criterion: improving access to healthcare services in underserved communities. With most of the Indian eye care market concentrated in metropolitan areas, Maxivision aims to bring quality and affordable eye care to communities in need in the country’s smaller cities and rural areas.
Quadria’s portfolio companies using these funds will report on pre-approved metrics to demonstrate the social impact of the firm’s investment. In the case of Maxivision, the metrics include effective coverage for the elderly population, availability and training of healthcare professionals, number of doctors and installed beds, healthcare costs, accreditation of facilities, and eye care awareness initiatives, among many others.
Abrar Mir, co-founder and Managing Partner at Quadria Capital, said: “With this social loan, the first of its kind in Asia, we are bringing to the region financial innovations designed to channel capital into projects that create broad social impact. It demonstrates our ability to avail ourselves of sustainability linked financing to expand quality and accessible healthcare services across the region while generating attractive returns.”
HSBC Singapore and ING Singapore Branch were the original lenders for the facility. HSBC Singapore also acted as the Facility and Security Agent for the facility and ING Singapore Branch acted as the sole social coordinator for the facility.
Regina Lee, Head of Commercial Banking, HSBC Singapore said: “This facility represents the first social loan that HSBC Singapore has structured for a private equity investor in Southeast Asia. Quadria is a good example of how a forward-thinking investor can strive for both accretive returns and making positive social impact – and we are glad to partner them on this journey. It also clearly demonstrates how banks, investors, and portfolio companies can work together towards common ESG goals, especially in promoting greater social impact by making healthcare more accessible.”
Anju Abrol, CEO and head of wholesale banking APAC at ING said: “By introducing the region’s first capital call facility where use of proceeds is for social purposes, we hope that this demonstrates the innovative solutions that ING continues to pioneer can help our clients achieve their ESG goals and yet have an incentive against their bottom line. We thank Quadria Capital for their trust in ING as a social coordinator once again and look forward to an enduring partnership for the future.”
About Quadria Capital
Founded in 2012, Quadria is an Asia healthcare-focused private equity firm with assets under management of over US$ 3.4 billion, maximising returns by investing in the high growth healthcare sector of some of the world’s fastest-growing economies in South Asia and Southeast Asia, including Healthcare Delivery, Life Sciences, Medical Technology and Associated Healthcare Services subsectors. The firm aims to create significant and sustainable shareholder value by supporting strong, professionally run, stable and scalable healthcare organisations to address the critical and undersupplied healthcare needs in Asia.
For more information, please visit https://quadriacapital.com
ING is a global financial institution with a strong European base, offering banking services through its operating company ING Bank. The purpose of ING Bank is empowering people to stay a step ahead in life and in business. ING Bank’s more than 57,000 employees offer retail and wholesale banking services to customers in over 40 countries.
ING Group shares are listed on the exchanges of Amsterdam (INGA NA, INGA.AS), Brussels and on the New York Stock Exchange (ADRs: ING US, ING.N).
When it comes to sustainability, we facilitate and finance society’s shift to a low-carbon future and pioneer innovative forms of finance to support a better world. As such, we’re ranked first in the banks industry group by Sustainalytics and have an ‘AA’ rating in MSCI’s ratings universe. ING Group shares are included in major sustainability and Environmental, Social and Governance (ESG) index products of leading providers STOXX, Morningstar and FTSE Russell.
The Hongkong and Shanghai Banking Corporation Limited is the founding member of the HSBC Group. HSBC serves customers worldwide from offices in 62 countries and territories. With assets of US$2,990bn at 31 March 2023, HSBC is one of the world’s largest banking and financial services organisations.
With its global scale, deep expertise and strong presence in emerging markets, HSBC is committed to support businesses on their transition plans. Globally, HSBC has pledged to provide up to USD1 trillion by 2030 to support the financing and investment needs of clients as they transition to net zero. Specifically, HSBC Singapore continues to focus on the funding of the development of clean energy, lower-carbon technologies and projects that contribute to the delivery of the Paris Agreement and the UN Sustainable Development Goals. HSBC was once again awarded Asia’s Best Bank for Sustainable Finance for a sixth consecutive year at the Euromoney Excellence Awards 2023.
Investor Relations Contact
Gerald Ng, Head of Investor Relations