NZ Super Fund joins consortium investment into Fertility Associates
POSTED ON: 20 December 2021
A consortium made up of NZ Super Fund, Pioneer Capital and Comprador Holdings has bought into New Zealand’s leading fertility treatment provider Fertility Associates.
Founded in 1987 Fertility Associates is the leading provider of reproductive support, diagnostic services and fertility treatments in New Zealand and Malaysia. To date Fertility Associates has helped bring 25,000 babies into the world in New Zealand and 5,000 babies in Malaysia.
The consortium has acquired approximately 70 percent of the business, with the balance continuing to be owned by Fertility Associates’ doctors and management team.
NZ Super Fund Head of External Investments and Partnerships Del Hart says she is pleased to invest in a well-established and quality local business that helps New Zealanders with their journey to having a baby.
“Fertility Associates provides important services to New Zealanders, often in difficult circumstances, with a focus on professionalism and quality. The team is dedicated to helping people as they seek to grow their families, using the latest in reproductive technology, expertise and care.
“Our investment in Fertility Associates gives us exposure to the New Zealand healthcare sector and fits with our focus of identifying local businesses where we can add value by investing to help them grow and develop.”
Pioneer Capital’s investment comes from its fourth private equity fund, in which NZ Super Fund is also invested, that invests in high growth, mid-market New Zealand businesses seeking international growth. Comprador Holdings (via its partner investment company White Cloud Capital) has extensive experience in the fertility sector from a previous investment in building the leading UK/EU fertility business, The Fertility Partnership.
Ms Hart says the international focus is important because in addition to being the leading domestic reproductive service provider, Fertility Associates also owns a market leading platform for fertility services in Malaysia and part of the consortium’s approach is to support expansion of its services in both Malaysia and selectively into other Asia-Pacific countries.
“Fertility Associates is a well-trusted provider across New Zealand and we are pleased to be supporting the business with its continued growth in the provision of reproductive services across Asia,” says Pioneer Capital’s Managing Director Randal Barrett.
“The business is supported by demographic changes including people choosing to have children later in life, social infertility and greater social acceptance of assisted reproductive techniques and improved technology.”
Fertility Associates CEO Alex Price welcomed the increased investment noting that the consortium had a combination of a growth mindset, capital to support that growth and previous experience in growing an IVF business internationally – all factors in Fertility Associates’ decision.
“Five years ago, we invested in the Sunfert Group in Malaysia to partner with them in building a larger fertility group” says Price. “This scale means that from adopting new technologies to growing our scientific research team, we will continue to provide long term benefits for our patients.”
Over the past 30 years, Fertility Associates have introduced a number of proven fertility technologies into New Zealand. “Fertility science is constantly evolving” says Dr Andrew Murray, Group Medical Director.
“From introducing IVF and donor treatments in the 80s, through to genetic screening of embryos and time-lapse imaging over the past few years, we will continue to provide world standard treatments for our patients. Developments in artificial intelligence and non-invasive genetic screening offer further opportunities to improve outcomes in the next few years.”
Mr Price noted the continuing commitment from the current team to give our patients the best possible chance of having a baby.
“The last two years have had their challenges, but the investment does represent an important vote of confidence in Fertility Associates’ future.”
Fertility Associates was advised by Cameron Partners, Rothschild & Co and Dentons Kensington Swan.