CVC Capital Partners has sold Quironsalud, Spain’s largest private hospital operator, to German healthcare provider Fresenius for €5.76 billion ($6.42 billion), PEI's sister publication Private Healthcare Investor reports.
The purchase price represents a 10.8x multiple of 2016 earnings before interest, taxes, depreciation, and amortisation.
“This acquisition combines two leaders in terms of quality and size. Our patients will benefit from the exchange of knowledge and ideas,” said Stephan Sturm, CEO of Fresenius.
CVC declined to comment on the sale.
CVC formed Quironsalud last year when it bought Spanish operator Quiron from private equity firm Doughty Hanson for €1.6 billion and merged it with IDCSalud, which it acquired from Swedish healthcare group Capio in 2011 for around €900 million. At the time, Capio was owned by buyout houses Apax and Nordic Capital.
Quironsalud runs 43 hospitals, 39 outpatient centers, and around 300 occupational risk prevention centers across Spain. The company has about 35,000 employees and says it expects sales of approximately €2.5 billion and EBITDA of €460 million to €480 million this year, with EBITDA growing to between €520 million and €550 million next year.
Quironsalud’s CEO and founder, Victor Madera, will join Fresenius after the transaction.
Luxembourg-based CVC is currently investing CVC European Equity Partners VI, which it closed on €10.9 billion in June 2013.