Medibank to buy GP network Better Medical from Livingbridge for $159m
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The news: Health insurer Medibank has agreed to buy GP network Better Medical from private equity firm Livingbridge for $159 million.
The numbers: Better Medical is a network of 61 GP and medical clinics in Victoria, Queensland, South Australia and Tasmania. It has operated in the community since 2015, with around 800 doctors, nurses and allied health practitioners.
The context: Medibank said the investment builds on the company's support for primary care through its Amplar Health network.
The acquisition of Better Medical also adds to Medibank's majority interest in Myhealth Medical Group, which has a network of 105 primary care clinics across eastern Australia.
The deal, which will be funded from existing capital, remains subject to regulatory approval and other customary conditions. It is expected to be completed by the end of the third quarter of FY26.
Medibank said the acquisition supports its new target of achieving at least $200 million in annual earnings from its health segment by FY30. It takes the total amount Medibank has invested in M&A between FY25 and FY26 to $218 million, towards the top end of its $150-250 million target range.
What they said: "Investing in GPs and their teams to enable them to deliver more proactive and preventative care is good for patients, good for doctors and good for the health system," said Amplar Health chief executive Robert Read.
"As a health company, we see the impact of an under-investment in prevention every day. It's why we are taking steps to address this through our investments in wellbeing, primary care and community and acute care."
The source: ASX
