IC approves Gokongwei's foray in HMO business

Published June 3, 2022, 2:36 PM

by Chino S. Leyco

Gokongwei-led private investment firm JE Holdings, Inc. has secured the approval of the Insurance Commission for the acquisition of a stake in Maxicare Healthcare Corp.

In a statement on Friday, June 3, Insurance Commissioner Dennis B. Funa said the Gokongwei family, through JE Holdings, now owns 42.31 percent of Maxicare, the leading health maintenance organization (HMO) in the country.

JE Holdings is now the co-equal shareholder of Maxicare alongside the Equicom Group, a diversified conglomerate engaged in healthcare, information technology, banking, and financial services.

“With this investment transaction, the Insurance Commission warmly welcomes the Gokongwei Group into the HMO business,” Funa said.

“With the Group’s entry, we are confident that the HMO industry will further grow as one of the strong, sustainable, and globally-competitive pillars of the Philippine economy, as this Commission envisions,” he added.

Earlier, Equicom said the company entered into a strategic partnership with JE Holdings to allow Maxicare expand its HMO business operations.

Antonio Go, Equicom chair said their agreement with JE Holdings was intended to be a partnership of equals that would give Maxicare a stronger foothold in the country’s health care industry

“Maxicare is already the top HMO provider in the Philippines; this partnership will only strengthen our lead in the health care sector and will help us deliver industry-defining services that will benefit Filipino consumers,” Go said.

For his part, Lance Gokongwie, JE Holdings chair said the company was very excited to work with the Equicom Group on this new undertaking that would further democratize the delivery of essential health care services to Filipino,

”As their partner, we commit our support as they continue to innovate to help bring a better and comprehensive health care system in our country,” Gokongwei said.