Mayne and Kalbe tie up

Mayne and Kalbe tie up

SYDNEY (Reuter): Transport and health care group Mayne
Nickless Ltd said yesterday its Health Care of Australia unit had
signed a joint venture agreement with Indonesia's PT Kalbe Farma
Group.

"Health Care of Australia will have a 40 percent share (A$25
million) in the joint venture which will undertake the
development of two new private hospitals in Jakarta and manage a
third existing hospital in Jakarta," Mayne said.

The joint venture would involve pathology services.

Mayne said it was already involved in an 85 percent joint
venture to develop a new hospital in Surabaya in eastern
Indonesia.

The announcement of the joint venture was part of a review of
Mayne's operations after its decision to sell its 25 percent
stake in Optus Communications, Australia's second largest
telecommunications group.

Mayne said that it would spend about two thirds of the funds
raised from the Optus sale in the health care industry and was
looking at possible acquisitions in France, Canada and Australia.

Analysts have said the sale of the Optus stake could reap up
to A$1 billion.

Mayne shares closed six cents firmer at A$7.55 in an overall
softer market.