Mediclinic says will not make offer for Spire Healthcare

Cornelia Mascio
Novembre 20, 2017

Shares in private hospital group Spire dropped sharply after Mediclinic scrapped a bid for the company.

Spire, which owns 39 private hospitals, 10 clinics and two cancer care centres in the United Kingdom, highlighted its "significant" investments in the business in recent years, including the acquisition of St. Anthony's in South London and the opening of two new hospitals in Manchester and Nottingham in 2017, "and expects to benefit from the returns on these investments over the coming years".

At the time, Mediclinic approached the company with an offer that valued its shares at 298.6 pence apiece in cash and stock, representing a 29% premium to Spire's closing price on October 17, the day prior to the offer. According to British takeover rules, Mediclinic can not make another offer for Spire for six months unless there is a change in circumstances.

"Mediclinic is disappointed that it could not reach an agreement with the independent directors of Spire but will continue to take a disciplined approach to capital allocation to ensure investments are in the best interests of Mediclinic shareholders", Mediclinic said in Monday's statement. "Mediclinic has every intention of remaining a supportive shareholder of Spire", it said.

Mediclinic calls quits on Spire takeover
Mediclinic says will not make offer for Spire Healthcare

Mediclinic had until 1700 GMT on Monday to either make a new offer for Spire or walk away.

Shares in the FTSE 250-listed Spire fell more than 7% on the news, while Mediclinic - a FTSE 100 member - dropped 3.7%.

The group was forced to shell out £27.6m to help compensate victims earlier this year, which led to pre-tax profits for the six months to June 30 tumbling to £8.9mn from £35.7m.

Altre relazioniGrafFiotech

Discuti questo articolo

Segui i nostri GIORNALE