(Yicai Global) Jan.21 -- iKang Healthcare  Group, China's first private healthcare provider to go public, has  gotten its stock delisted from the Nasdaq. Buyers look to revamp the  target firm's technology to make the company profitable again. 

The investors, including Alibaba's e-commerce unit Taobao China Holding, Treasure Cottage and Yunfeng  IK Co-invest, which is a joint venture between Suning.Com and Jack Ma's  Yunfeng Capital, paid cumulatively about USD1.1 billion to take iKang  private, the Beijing-based healthcare firm said in a statement on Jan.  18. 

"Today is a new milestone," Zhang Ligang,  the president of iKang. "We are honored to receive support from top  investors and strategic partners." The stock [NASDAQ: KANG] ended trading 0.049 percent down at USD20.53 on Jan. 18.

Taobao and Treasure Cottage will  indirectly hold a 23.8 percent stake in iKang, Yunfeng IK Co-invest will  have 8.2 percent of the equity, and Suning International Group 3.4  percent upon transaction. The  remaining USD360 million worth of equity will be shared between  Chairman and Chief Executive Zhang Ligang, Vice Chairman He Boquan, and  other affiliates. 

The buyers recognized the challenges  brought about by the current imbalance between supply and demand,  private equity fund Yunfeng Fund said on behalf of the investors, adding  that technology and innovation will help drive the development of the  company's business. iKang made USD560 million in revenues in 2017, and  logged USD17 million in losses. 

iKang accepted a takeover offer to  privatize its business, initiated by Yunfeng Capital and Alibaba Group  Holding, it said in a statement last March. The deal priced the equity at USD41.2 per common stock or USD20.6 per American depositary share.

iKang will use artificial intelligence to  enhance the three major areas of physical examination, post-inspection  management and treatment, it said in a statement a month ago. The  company will maintain a steady growth and will not overexpand, Zhang  said at that time.

Founded in 2004, iKang offers physical  examination services mostly for corporations in over 30 cities across  China, as of November 2018. The firm got listed in the US in September  2014. 

Editor: Emmi Laine