Fresenius Helios €5.76 billion acquisition of Quirónsalud

Overview:

• Fresenius Helios, Germany’s largest hospital operator, has agreed to acquire IDC Salud Holding, or Quirónsalud, Spain’s largest private hospital operator, for €5.76 billion, from private equity house CVC Capital Partners and members of the group's board. 
• Financing for the acquisition was a €3.75 billion bridge loan, which was replaced prior to the acquisition by the issuance of loan notes, Eurobonds and a synthetic convertible bond with an aggregate amount of €4.1 billion. 
• The acquisition adds 43 hospitals, 39 outpatient centers and 300 occupational risk prevention centers around Spain to the German company's portfolio. 
• Quirónsalud was created by the merger of IDC Salud and Grupo Hospitalario Quirón in 2014, and has grown by 5% per annum in recent years. 
• The transaction is based on a cash and share basis, and shares of Fresenius Helios are being issued as part of the deal. 
• Financing for the acquisition was provided by a syndicate of banks including Deutsche Bank (lead arranger), JPMorgan and Société Générale.

John Crabb - Journalist