SINGAPORE, Oct 3 (Reuters) – Warburg Pincus (WP.UL) has agreed to invest in Everise in a deal that values the U.S-headquartered healthcare services outsourcing company around $1 billion, the companies said in a joint statement on Tuesday.

They did not disclose financial details of the transaction.

The investment will help Everise, in which Canadian investment firm Brookfield is an existing investor, accelerate its growth through business expansion and merger and acquisitions activity, the statement said.

The investment comes against a backdrop of growing global demand for healthcare and related assets, lured by the sector’s ability to weather challenging economic environments such as higher inflation.

“We have continued to see strong underlying demand for quality customer experience, driven by an increasing outsourcing trend across the global healthcare industry,” Warburg Pincus’ Mumbai-based managing director Viraj Sawhney said in the statement.

Warburg Pincus has invested in the healthcare sector for over five decades and counts Ensemble Health Partners, which offers revenue cycle management for healthcare firms, and U.S consumer healthcare navigation company Quantum Health among its portfolio companies, according to the statement.

The entry of Warburg Pincus into Everise will see Singapore-headquartered private equity firm Everstone Group exiting the company, according to the statement, which said the transaction is expected to close by the end of this year.

Founded in 2016, Everise has over 19,000 employees in eight markets from Singapore to India, according to its website.

Brookfield, with some $850 billion in assets under management, agreed to buy into Everise from Everstone in 2020.

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