BGH acquires Healius medical centres
Allens has advised BGH Capital on the acquisition of Healius’ medical centres business.
Firm: Allens (BGH Capital).
Deal: Allens has advised BGH Capital on the acquisition of Healius’ medical centres and dental clinics businesses and its separation from Healius’ day hospitals and IVF clinics business. The transaction successfully completed on 23 November 2020 and has a headline value of $500 million.
Value: $500 million.
Area: Private equity, M&A.
Key players: The Allens team was led by partners Tom Story and Emin Altiparmak.
Deal significance: Allens’ private equity and healthcare specialists across a number of practices combined to help BGH deliver a complex carve-out transaction that spanned the COVID period.
“The BGH team has been incredibly active in the Australian market in 2020 despite COVID and the broader economic headwinds,” PE partner and head of corporate, Mr Story said.
“While this deal was conceived pre-COVID, it was among the first leveraged buy-outs by an Australian PE sponsor during the first COVID wave, but the complexity of the carve out from Healius saw it complete only after the end of the second COVID wave.”
PE partner and funds sector leader Mr Altiparmak added that there has been a growing pipeline of healthcare M&A opportunities in Australia in 2020, which has continued to supply the healthy appetite that PE sponsors have in this sector.
“In 2021, we expect to see a number of additional corporate carve out and bolt on opportunities in this sector for PE sponsors and their portfolio companies, as well as some secondary deals as sponsors who might have been hoping to exit their healthcare investments in 2020 will look to realise their goals in 2021 as markets steady post COVID-19,” he said.