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HONG KONG (Reuters) – Private equity firms Boyu Capital, Hillhouse Capital and BPEA EQT (NYSE:) are among bidders vying for Longreach Group’s Hong Kong-based medical device maker Quasar, three people with knowledge of the matter said.

Longreach, an Asia-focused private equity firm, is targeting a valuation of as much as $600 million or more for the entire company, said one of the three sources and a separate person with knowledge of the transaction.

The bidding process, which is being run by Goldman Sachs (NYSE:), has entered the second round, the first three sources said.

All the sources declined to be identified as the deal talks are confidential.

Longreach, Quasar, Boyu and Hillhouse did not respond to a request for comment. BPEA EQT and Goldman declined to comment.

Bidders are currently doing due diligence on the company, according to two of the sources, one of whom added that final bids are due by end of June.

Private equity firm General Atlantic and a number of strategic buyers are also in the fray, said the fourth source and two separate people with knowledge of the matter. General Atlantic declined to comment.

The sale process comes at a time where medical services companies are gaining favour, as investors bet on the healthcare sector’s ability to weather the challenging global economic environment.

Established in 1988 in Israel, Quasar is a global contract development and manufacturing organization (CDMO) of advanced medical devices and counts Johnson & Johnson (NYSE:) and Medtronic (NYSE:) PLC as clients, according to the company’s website.

It has two manufacturing facilities in China and one in Thailand, the website showed.

Longreach acquired a controlling stake in the company in 2019 for an undisclosed amount.

Quasar’s earnings before interest, taxes, depreciation and amortization was about $30 million in 2022, said one of the sources and a seventh source with knowledge of the transaction.

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