Baring Asia invests in Chinese medical device manufacturer

Baring Private Equity Asia, an Asian buyout firm, has made a growth capital investment in the booming medical device sector.

Baring Private Equity Asia has bought a significant minority stake in Amsino Medical Group for an undisclosed sum, according to a statement.

Amsino provides medical devices such as blood collection and transfusion devices as well as anaesthetic and surgical products.

The medical device sector is a rich source of deals. In the US alone venture and growth capital deals in the medical device sector rose 40 percent in 2007 to $3.9 billion (€2.7 billion) across 385 deals, according to a report by the US industry body National Venture Capital Association.

UK investment firm 3i bought a pharmaceutical company today with the express intention of developing the company’s role in the medical device sector. 3i said the change in the economic cycle could herald more buyouts in the traditionally big pharma-dominated medical device sector as firms look for more defensive investments.

Traditionally private equity has invested in the sector through growth or venture capital deals such as Baring’s, although 3i’s lead partner for healthcare Bernie Schuler said buyouts in the sector will increase.

Wai San Loke, a managing director at Baring Private Equity Asia, said in a statement:  “We are confident that Amsino has built a substantial operating base in China that can be used to tap the emerging opportunities in North American and European medical device manufacturing outsourcing.”