Ramsay buys $251 million hospital from Healthscope
Make us a preferred source
Make us a preferred source on Google
The news: Ramsay Health Care has agreed to buy National Capital Hospital for $251 million from Healthscope, using its existing debt facilities to fund the deal.
The Canberra hospital has 148 beds, eight theatres, one cath lab, and intensive and coronary care units. The site is on a lease from Canberra Health that runs until 2064, located across from Canberra's public hospital and next door to the ANU Medical School.
Subject to ACCC approval, the transaction is expected to complete next year.
Healthscope called in the receivers earlier this year but investors have backed operators like Ramsay, attracted by the prospect of margin expansion.
What they said: "National Capital is strategically located in an attractive catchment area with strength in Ramsay’s target therapeutic areas of cardiac, orthopaedics and oncology. Most importantly its clinical quality, governance and safety performance has been strong over a long period of time driven by an experienced leadership team and strong doctor partnerships," group CEO Natalie Davis said.
“National Capital is expected to be in Ramsay’s top 20 hospitals based on both revenue and profitability and is expected to be earnings per share (EPS) accretive in the first twelve months of ownership."
The source: ASX
