Spire Healthcare, Britain’s largest private healthcare operator, has entered takeover talks that could lead to a change in ownership.
Private equity firms including Bridgepoint and Triton Partners are exploring bids in a deal that could value the group at around £1.5billion, according to Sky News.
If completed, the takeover would mark another FTSE-250 company leaving the London stock market.
Spire runs close to 40 of the UK’s largest private hospitals, alongside more than 50 clinics, medical centres and consulting rooms across the country.
The healthcare group is also the nation’s leading provider of hip and knee replacement procedures.
In addition to hospital services, Spire operates private GP surgeries and provides occupational health support to hundreds of corporate clients nationwide.
The organisation collaborates with approximately 9,000 consultants and maintains a workforce of thousands across its facilities.
During 2024, the healthcare provider treated in excess of 1.3 million patients.
During 2024, the healthcare provider treated in excess of 1.3 million patients
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PA
Sources in the City indicate both firms have signalled their intention to bid ahead of a deadline established by Spire’s advisers this week.
Bridgepoint’s pursuit carries an interesting connection: the firm previously owned Oasis Dental Care when Justin Ash, now Spire’s chief executive, was at the helm of that business.
Triton brings substantial healthcare sector expertise to the table, with existing investments including Pharmanovia, a specialist prescription medicines producer.
Sir Ian Cheshire, who chairs both Spire and Land Securities while having previously led Kingfisher, is understood to be eager to advance discussions with potential buyers.
Sir Ian Cheshire, who chairs both Spire and Land Securities while having previously led Kingfisher, is understood to be eager to advance discussions with potential buyer
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GETTY
Rothschild is overseeing the sale process, which has attracted interest from a wider pool of suitors beyond the two frontrunners. Advent International and Bain Capital have both approached the investment bank, though neither is anticipated to pursue their interest further.
Several other financial investors and overseas buyers are also understood to be involved in the talks. If discussions progress as hoped, sources say a deal could be agreed within the next few months.
The process has been driven by pressure from major shareholders, who are pushing the board to address the company’s weak share price.
If completed, the takeover would mark another FTSE-250 company leaving the London stock market
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PASpire’s shares have fallen by more than 23 per cent over the past year and closed on Friday at 178.2p, valuing the business at just under £725m.
Investors have been calling for action to reverse the decline, including exploring ways to unlock value from Spire’s large freehold property estate. South African healthcare group Mediclinic currently owns a 29.9 per cent stake in the company.
Any takeover bid would need to come at a significant premium to the current share price to secure shareholder backing.
In 2021, investors rejected a 250p-per-share offer from Australia’s Ramsay Healthcare, arguing it undervalued the business.