Ayala-led AC Health has drawn up an ambitious plan to modernize Cebu Velez General Hospital (CVGH), upgrading its facilities and equipment while adding specialized services.
“AC Health, through its provider arm, Healthway Medical Network, is committed to building CVGH’s proud legacy as one of Cebu’s most respected hospitals, while positioning it for future growth,” said AC Health in a statement to InsiderPh on Sept. 21.
Backed by fresh capital, strategic partnership
On Sept. 19, AC Health became the majority owner of Cebu Velez General Hospital (CVGH) after reaching an agreement with the Velez family.
The 200-bed level 3 hospital, which began as a small clinic in 1947, will now be integrated into AC Health’s Healthway Medical Network.
The acquisition marks a key step in AC Health’s expansion in the Visayas, strengthening its presence outside Metro Manila and positioning CVGH for long-term growth and modernization.)
The partnership came after AC Health closed a landmark investment from Singapore-based ABC Impact, which committed to subscribe to a 16-percent minority stake in AC Health.
Building a stronger nationwide healthcare network
With the fresh capital infusion, AC Health aims to grow its footprint to at least 10 hospitals, 300 clinics, and 1,150 pharmacies by 2027. The acquisition of CVGH marks a significant step toward this goal.
When asked about the decision to acquire a majority stake in CVGH, AC Health said the hospital complements its existing service provider network and provides a stronger platform to expand access to quality health care in Cebu and the wider Visayas region.
“As a major center of development, Cebu has been and continues to be a priority for us. Both our pharma and clinic businesses have been present in Cebu for many years,” it added.
AC Health gave its assurance that all current staff will be retained, underscoring that its employees are at the heart of the hospital’s continued success and growth.
“Now that CVGH is part of the Healthway's growing national network, employees will benefit from many more opportunities for professional and personal advancement,” AC Health said.
As the hospital upgrades its facilities and broadens its services, AC Health said it also expects to create new job opportunities to support the growing needs of patients and the wider community.
Integration marks start of a future-ready CVGH
Integration efforts are already in motion, with AC Health and the Velez family working side by side to ensure a seamless transition while laying the foundation for a stronger, future-ready organization.
During the signing of the agreement last Sept. 19, James Velez Ting, CVGH assistant administration, expressed his excitement about joining AC Health’s growing network.
“For more than 70 years, CVGH has served generations of Cebuanos with patient-centered care and medical excellence. Partnering with AC Health allows us to strengthen this legacy while expanding our reach,” Velez said.
Expanding AC Health’s footprint, strengthening patient care
Paolo Borromeo, AC Health president and CEO, said their partnership with CVGH brings them closer to their vision of transforming healthcare for every Filipino.
“Cebu is an important market for us at AC Health, and we are deeply grateful to the Velez family for their trust and confidence as we work together to build on CVGH’s legacy of excellent healthcare,” Borromeo said.
The partnership with CVGH also expands AC Health’s nationwide footprint of hospitals, specialty clinics, and retail pharmacies, allowing it to deliver more integrated and comprehensive care for patients across the Philippines.
“CVGH has long been a pillar of healthcare in Cebu, and by integrating it into our network, we can ensure patients benefit from stronger referral systems, access to broader services, and the collective expertise of our hospitals and clinics nationwide," said Jimmy Ysmael, president and CEO of Healthway Medical Network.
Fortman Cline Capital Markets served as the financial advisor to Cebu Velez General Hospital.
Contributor
