Table of Contents
IKANG HEALTHCARE GROUP, INC.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEARS ENDED MARCH 31, 2016, 2017 AND 2018
(In thousands of US dollars, except share and per share data, or otherwise noted)
9. LONG-TERM INVESTMENTS - continued
(1) Cost method investments
Pursuant to a co-operation agreement with shareholder of Xian Puhui Physical Examination Co., Ltd. (Xian Puhui) in November 2015, the Group invested 23.1% equity interest of Xian Puhui, which operates fifteen medical clinics in Xian, Zhengzhou and other six cities, with a cash consideration of approximately $32,090. The transaction was closed in December 2015. The Group has no representative on Xian Puhuis board of directors and does not have the ability to exercise significant influence over the operating and financial policies of Xian Puhui. The Group used cost method to account for this investment.
In May 2015, the Group invested 1.8% equity interests of American Well Corporation (AW), a Delaware company with a cash consideration of approximately $13,500. The Group used cost-method to account for the investment as the Group has no representative on AWs board of directors and does not have the ability to exercise significant influence over the operating and financial policies of AW.
In September 2015, March 2016, and October 2016, the Group acquired minority equity interests in several third-party private companies through investments in their common shares or in-substance common shares with cash consideration of $2,000, $993, $232 respectively. The Group accounts for these investments under the cost method as the Group has no ability to exercise significant influence over the investees.
In December 2017, the Group sold and disposed two early-stage subsidiaries to a related party, Ningbo Meishan Bonded Port Area Aiying Xingsheng Investment LLP (Aiying Xingsheng Fund). After the transaction, the Group held 1% equity interest of each of these two entities, which was accounted for using cost method and the carrying value was at $66 as of March 31, 2018.