SPI

Australia's Ramsay Health Care offers to buy British peer Spire for $1.4 billion

Credit: REUTERS/BENOIT TESSIER

Australian hospital operator Ramsay Health Care on Wednesday offered to buy British peer Spire Healthcare Group for 1 billion pounds ($1.42 billion) to strengthen its British healthcare business.

Adds details of deal

May 26 (Reuters) - Australian hospital operator Ramsay Health Care RHC.AX on Wednesday offered to buy British peer Spire Healthcare Group SPI.L for 1 billion pounds ($1.42 billion) to strengthen its British healthcare business.

The offer for 240 pence per Spire share is a premium of 24.4% to the stock's last closing price.

Ramsay said it will engage with Britain's competition regulator for the deal. The UK Competition and Markets Authority may require it to divest certain hospitals and clinics for the deal to go through.

The deal will deliver high single-digit earnings per share from 2024, Ramsay said, adding that the acquisition will be funded through existing debt facilities.

($1 = 0.7064 pounds)

(Reporting by Arundhati Dutta in Bengaluru; Editing by Jacqueline Wong and Arun Koyyur)

((Arundhati.Dutta@thomsonreuters.com;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

SPI

Reuters

Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

Learn More