Private Equity News & Analysis

Healthscope draws A$1.7bn bid from PE consortium

The Australian healthcare provider has received a buyout bid from a private equity consortium, reportedly comprising of TPG and Carlyle.

-

Healthscope, an Australian healthcare provider, has received a bid from a private equity consortium comprising of unnamed firms to buy all of its issued share capital.

The company received an “indicative, non-binding and confidential proposal” from a private equity consortium to acquire its shares at a price of A$5.50 per share, the company said in a filing to the Australian Securities Exchange.

The bid is estimated to be worth about A$1.74 billion (€1.2billion; $1.5 billion), a source familiar with the development confirmed with PEI Asia. According to Australian media reports, the private equity consortium comprises of global private equity majors The Carlyle Group and TPG Capital. 

TPG was unavailable for comment at press time. Carlyle declined to comment. 

In recent months, Australia has seen a significant activity in terms of both, private equity investments as well as firms looking to divest or dilute stakes they own in portfolio companies.

Earlier this month, The Riverside Company made its first deal in Australia, taking a majority stake in The Boost Investment Group, owners of Boost Juice Bars and Salsa’s Fresh Mex Grill, for an undisclosed sum. 

In January, Hong Kong-based Affinity Partners hired Credit Suisse and Deutsche Bank to advise on the prospective listing of Australian pallet maker Loscam, which, media reports said at the time, could raise up to A$800 million. The Hong Kong-headquartered firm subsequently opened the company up to auction as well, and has received bids from both strategic trade buyers and private equity firms.

Around the same time, Study Group, an education-focused portfolio company of CHAMP Private Equity, appointed Deutsche Bank and Credit Suisse for a possible IPO this year. Local media put the value of a potential float at up to A$600 million. Additionally, CHAMP is also said to be considering the listing of Manassen Foods, a food retailer and distributor, which could reportedly raise between A$400 million and A$500 million.