Bridgepoint closes in on maiden Fund IV deal

The European private equity firm has made a tender offer to de-list the €312m Finnish healthcare provider, Terveystalo Healthcare. If successful, it will be the first investment made from the €4.8bn Bridgepoint Europe IV.

UK-headquartered private equity firm Bridgepoint is close to sealing the first deal from its €4.8 billion fourth fund: the take-private of Finnish healthcare business Terveystalo Healthcare.

Healthcare: a favoured sector for Bridgepoint

Terveystalo, which offers occupational healthcare, diagnostics and hospital services, has an enterprise value of €312 million. Bridgepoint's tender offer – at €2 per share in cash – represents a 203 percent premium to the company's closing price on January 16.

Current Terveystalo shareholders representing 51.8 percent of the company's shares and votes, which include Finnish Mutual Pension Insurance Companies Ilmarinen and Varma, support the offer, according to Bridgepoint. The acceptance period for the offer expires on February 16.

If successful, this take-private will be the first investment made from Bridgepoint Europe IV, a €4.8 billion fund closed in October 2008. The fund follows its predecessors' strategy of targeting firms with enterprise values ranging from €200 million to €1 billion in the consumer, media and tech, healthcare, business services, industrials and financial service sectors.

According to a spokesman for the firm, Bridgepoint has completed around €4 billion-worth of healthcare deals in Europe in the last 10 years. The last take-private completed by a Bridgepoint fund was the €60 million acquisition of UK-based self-storage company Safestore in 2003.