Healthscope poised to accept offer from TPG and Carlyle

The board of private Australian healthcare provider Healthscope has unanimously recommended shareholders accept an offer by a US consortium of $6.26 a share to buy the company.

Texas Pacific Group (TPG) and the Carlyle Group are two of the world’s largest private equity firms, together managing over $US135 billion in equity capital. Their offer follows a formal evaluation process between the parties and values Healthscope at $2.7 billion, a 39 percent premium on the company’s closing price of $4.50 the day before the offer was made on May 13 this year.

The consortium had earlier confirmed that it planned to retain Healthscope managing director Bruce Dixon along with other senior managers.

With 44 private hospitals spread throughout every Australian state and territory, Healthscope is the country’s second largest private healthcare provider behind Ramsay Health.

Healthscope shares were up one cent to $5.95 by early afternoon trade.