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Healthscope … not my normal port of call …… What the ???
HSO - Healthscope Limited
- Thread starter peaceofmind
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- healthscope limited hso
greggles
I'll be back!
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Healthscope Limited announced this morning that it has received a proposal from Brookfield Capital Partners Ltd, together with its affiliates and their managed funds to acquire 100% of Healthscope by way of an off-market takeover offer representing total value of $2.455 per share, and a simultaneous scheme of arrangement representing total value of $2.585 per share.
The Board of Healthscope consider the terms of the Brookfield Proposal to be attractive for shareholders and has decided to grant Brookfield exclusive due diligence for a limited period to facilitate a binding offer.
Sounds like a done deal to me. A better deal for those who bought in around 12 months ago but not so good for those who got on board prior to October 2016.
The Board of Healthscope consider the terms of the Brookfield Proposal to be attractive for shareholders and has decided to grant Brookfield exclusive due diligence for a limited period to facilitate a binding offer.
Sounds like a done deal to me. A better deal for those who bought in around 12 months ago but not so good for those who got on board prior to October 2016.
bigdog
Retired many years ago
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BGH Capital calls time on Healthscope ambitions
It's pens down in the BGH Capital camp for Healthscope.
Street Talk understands the private equity manager told funding banks and advisers to stop work on the potential deal last week, almost one year after it kicked off Healthscope's auction with a $2.36 a share indicative proposal.
It is understood the decision to stop work comes after BGH Capital's dealmakers made what was described as one final concerted push for the hospital operator. Banks were told BGH "couldn't justify the price".
It means rival investment manager Brookfield - which made twin bids worth $2.50 via a scheme of arrangement or $2.40 via an off-market takeover - is unlikely to be bettered by the Australian buyout firm. Healthscope shares last traded at $2.45.
The question now is what it means for BGH Capital's arrangement with co-investors including AustralianSuper.
The consortium has a combined 19.13 per cent interest, which includes voting power of 16.43 per cent and another 2.7 per cent via an equity swap, wrapped up in a "co-operation and process agreement".
The agreement, first signed on April 26 and later extended, prevented Healthscope's largest shareholder AustralianSuper from being involved in a competing proposal or accepting another bid without the prior written consent of the other parties.
That agreement is due to expire on March 31. It is not known whether it will be extended.
How that block of shares will be voted in the proposed Brookfield scheme of arrangement is likely to go a long way to determining whether the $5.71 billion bid is successful.
Meanwhile, Brookfield is getting its financing in order after signing the three-headed takeover last month.
Brookfield's bid is to be funded with about $2 billion debt, $1.4 billion equity and a $2.5 billion property spin-off.
It is understood Brookfield's seven banks started syndicating the debt package a fortnight ago, when lenders from across the market called to a meeting at Bank of America Merrill Lynch.
BAML is one of seven underwriters in the debt deal and advised Brookfield on the offer. Other banks in the syndicate include JPMorgan and National Australia Bank - as previously reported by Street Talk - Barclays, MUFG, Sumitomo and Barclays.
Potential buyers were told Brookfield was seeking five-year money at about 400 basis points above the bank bill swap rate.
For BGH Capital, the decision to stop working on Healthscope comes as the firm is in late stage talks to acquire ASX-listed university pathways company Navitas.
It's pens down in the BGH Capital camp for Healthscope.
Street Talk understands the private equity manager told funding banks and advisers to stop work on the potential deal last week, almost one year after it kicked off Healthscope's auction with a $2.36 a share indicative proposal.
It is understood the decision to stop work comes after BGH Capital's dealmakers made what was described as one final concerted push for the hospital operator. Banks were told BGH "couldn't justify the price".
It means rival investment manager Brookfield - which made twin bids worth $2.50 via a scheme of arrangement or $2.40 via an off-market takeover - is unlikely to be bettered by the Australian buyout firm. Healthscope shares last traded at $2.45.
The question now is what it means for BGH Capital's arrangement with co-investors including AustralianSuper.
The consortium has a combined 19.13 per cent interest, which includes voting power of 16.43 per cent and another 2.7 per cent via an equity swap, wrapped up in a "co-operation and process agreement".
The agreement, first signed on April 26 and later extended, prevented Healthscope's largest shareholder AustralianSuper from being involved in a competing proposal or accepting another bid without the prior written consent of the other parties.
That agreement is due to expire on March 31. It is not known whether it will be extended.
How that block of shares will be voted in the proposed Brookfield scheme of arrangement is likely to go a long way to determining whether the $5.71 billion bid is successful.
Meanwhile, Brookfield is getting its financing in order after signing the three-headed takeover last month.
Brookfield's bid is to be funded with about $2 billion debt, $1.4 billion equity and a $2.5 billion property spin-off.
It is understood Brookfield's seven banks started syndicating the debt package a fortnight ago, when lenders from across the market called to a meeting at Bank of America Merrill Lynch.
BAML is one of seven underwriters in the debt deal and advised Brookfield on the offer. Other banks in the syndicate include JPMorgan and National Australia Bank - as previously reported by Street Talk - Barclays, MUFG, Sumitomo and Barclays.
Potential buyers were told Brookfield was seeking five-year money at about 400 basis points above the bank bill swap rate.
For BGH Capital, the decision to stop working on Healthscope comes as the firm is in late stage talks to acquire ASX-listed university pathways company Navitas.
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On June 11th, 2019, Healthscope Limited (HSO) was removed from the ASX's Official List in accordance with Listing Rule 17.11, following implementation of the scheme of arrangement between HSO and its shareholders in connection with the acquisition of all the issued capital in HSO by ANZ Hospitals Pty Ltd, an entity controlled by Brookfield Business Partners, and its institutional partners.