Private equity firm Adamantem Capital has locked in a deal to buy KKR-backed GenesisCare’s cardiology business, CardiologyCo, after about six weeks of exclusive talks.
GenesisCare CEO Dan Collins had Record Point and Morgan Stanley running the auction for his cardiology care business, CardiologyCo. James Alcock
Adamantem is understood to have paid between $200 million and $250 million. It would own the lion’s share of the CardiologyCo, while the doctors would keep a minority shareholding, under a deal that was signed this morning.
It gives the PE firm exposure to the aging thematic, while CardiologyCo gets to lighten its debt load.
CardiologyCo has more than 100 cardiologists and 700 odd technicians who see 200,000 plus patients a year. It would make two bolt-on acquisitions and expand into Sydney and diagnostics, concurrent to the Admantem deal.
Adamantem dealmakers Angus Stuart, Gunjan Goel and Georgina Varley led the investment for the firm. It joins its other healthcare bets like Zenitas and NZ aged care business Heritage Lifecare. It is the fourth investment in Adamantem’s $800 million Fund II after Climate Friendly, Linen Services and Nak Hair.
The PE firm used Grant Samuel, Skye Capital, EY and Gilbert + Tobin for advice. GenesisCare was advised by Record Point, Morgan Stanley, PwC and Herbert Smith Freehills.