(Corrects figure in lead to billion pesos instead of million pesos)
MANILA, May 16 (Reuters) - The private equity arm of Singaporean sovereign wealth fund GIC has agreed to buy a minority stake in the hospital unit of Philippine conglomerate Metro Pacific Investments Corp (MPIC) for 3.7 billion pesos ($85 million).
MPIC, in a filing to the stock exchange on Friday, said GIC had agreed to buy 14.4 percent of its unit, Neptune Storika Holdings Inc.
GIC also subscribed to 6.5 billion pesos worth of exchangeable bonds which would allow it to raise its stake in Neptune Storika to nearly 40 percent, the filing added.
Metro Pacific said it will use the bond sale proceeds to finance its toll road, power and water utilities businesses.
The deal is expected to be completed by the middle of this year.
Neptune Storika manages eight premier hospitals across the Philippines, part of Metro Pacific’s goal to become the country’s largest operator of private hospitals.
Earlier this month, GIC agreed to extend a 3.4-billion peso loan, convertible to equity, to the parent of Century Pacific Food Inc.
$1 = 43.65 Philippine Pesos Reporting by Siegfrid Alegado; Editing by Miral Fahmy