Aikang Health Announces Completion of Privatization and Delisting from Nasdaq

On January 18, 2019 (U.S. time), iKang Healthcare Group (Nasdaq: KANG) issued an announcement, announcing the privateOptimization completed.iKang Healthcare Group will delist from the NASDAQ Stock Market in the United States, and the company'sAmerican Depositary Shares (ADS)(ADS) will also cease trading.

On the evening of January 14, Taobao and Suning separately announced that they would acquire 100% of the shares of iKang Healthcare Group through multi-party funding. Following the privatization of iKang Healthcare Group, Taobao China Holding and Treasure Cottage, both under Alibaba Group, will indirectly hold approximately 23.8% of iKang’s equity; a fund jointly established by Suning and Yunfeng Capital will indirectly hold approximately 8.2%; and Suning International will indirectly hold approximately 3.4%.

In just four days, iKang Group completed the procedural steps and successfully went private. Following this acquisition, Alibaba Health’s physical examination segment will see substantial enhancement, marking a significant step forward in building its closed-loop healthcare ecosystem.

On March 26, 2018, a buyer consortium comprising Yunfeng Capital, Alibaba Group, Boyu Capital, Mr. Zhang Ligang (Founder, Chairman and CEO of iKang Healthcare Group), and Mr. He Boquan (Vice Chairman of iKang Healthcare Group) signed a merger agreement to take the company private at $41.20 per ordinary share or $20.60 per American Depositary Share (ADS). The merger agreement was approved by iKang Healthcare Group’s shareholders at the general meeting on August 20, 2018.

Mr. Zhang Ligang stated, “Today marks the beginning of a new milestone. We are honored to have secured the support of top-tier investors and strategic partners. Since its founding in 2004, iKang has remained committed to its mission of ‘dedicating ourselves to health management and enhancing quality of life,’ upholding trust through quality, and striving to drive transformation in health and medical service models through innovative technology. Over the past fifteen years, we have had the privilege of providing health check-up and health management services to tens of millions of customers and families. Here, we extend our special gratitude to every iKang employee, shareholder, and board member for their confidence and steadfast commitment, and to every customer and partner for their trust and support.”

iKang is one of the leading service providers in China’s rapidly growing private preventive healthcare sector, with a nationwide service network dedicated to offering customers one-stop health examination and health management services.

Yunfeng Capital was co-founded by Mr. Jack Ma and Mr. Yu Feng in 2010. It is a private equity firm established by successful entrepreneurs and industry leaders, serving as a close-knit network connecting China’s top entrepreneurs.

Alibaba Group’s mission is to make it easy to do business anywhere. For the fiscal year ended March 31, 2018, Alibaba Group generated revenue of $39.9 billion.

Boyu Capital is one of the largest private equity investment firms in China. With offices in Beijing and Hong Kong, Boyu provides long-term capital and operational advice to the best-managed and most innovative companies in the TMT, healthcare, consumer/retail, and financial services industries.