A new suitor has emerged for Ramsay Health Care Limited (ASX:RHC)'s Asia hospital business and it's one familiar in the local deal making scene - EQT AB (publ) (OM:EQT). DataRoom understands from sources that the Swedish private equity firm is a strong contender to buy the Sime Darby Health Care hospital business. There is also said to be a Japanese buyer interested.

Ramsay owns the Sime Darby Health Care business in a 50-50 joint venture with Malaysia multinational conglomerate Sime Darby Berhad (KLSE:SIME). It includes four hospitals in Malaysia and three in Indonesia. Analysts are valuing Ramsay Health Care's stake at $750 million to $800 million after tax.

Working for Sime Darby is investment bank JPMorgan. Other shortlisted parties are believed to include TPG Capital, L.P. through its joint venture with Hong Leong Columbia Asia Hospitals, Macquarie Asset Management Inc., Malaysia's Sunway Medical Centre Berhad and PT Mitra Keluarga Karyasehat Tbk. Working on the sale are Bank of America and Deutsche Bank, and it is understood to have progressed, with suitors having carried out due diligence and sourcing funding.

The David Thodey-chaired Ramsay has confirmed the sale plan, saying a sale of the business was being explored on the back of significant interest. It was in the process of narrowing the number of parties it would take through to the next stage of the process and expected to announce the outcome of the process before the company's annual general meeting on November 28. The sale comes as investors remain keen for Ramsay to drive down its $5.2 billion net debt level through asset sales.