Global investment firm KKR & Co. Inc. has led a group to bid nearly $15 billion for Ramsay Health Care Ltd., according to a report by Reuters.
- The deal is estimated to have an enterprise value of A$28 billion, with consortium members including Australian pension fund HESTA and Abu Dhabi Investment Authority, according to sources close to the matter.
- The proposal is equivalent to A$20.05 billion or $14.8 billion in total, at A$88 per share to be made in cash. This is equivalent to a 37% premium on Ramsay’s closing price of A$64.40 per share on Tuesday.
- The offer has secured the support of the Paul Ramsay Foundation, which has an 18.8% stake in the firm to make it the biggest shareholder. The assessment of the offer will be voted upon by its board.
- Ramsay’s portfolio includes hospitals and clinics located in 10 countries in three continents, with over 530 locations. It has some 72 private hospitals and day surgery units in Australia, on top of clinics and units in 350 European locations.
Should the deal push through, it would be the biggest buyout by a private equity firm of an Australian company. KKR is up 3.93% premarket, while RHC closed up 24.24%.