By Robb M. Stewart
MELBOURNE, Australia--Australian hospital operator Ramsay Health
Care Ltd. (RHC.AU) and its French joint venture partner are in
exclusive talks to buy Generale de Sante SA (GDS.FR), a listed
healthcare services company with 75 centers and 19,000
employees.
In a regulatory filing Monday, Ramsay said it has teamed up with
insurer Credit Agricole Assurances to make a nonbinding offer of
EUR16.75 (US$23.06) a share for the slightly more than 83% of
Generale de Sante held by Sante SA and Sante Developpement Europe
SAS.
If the deal goes ahead, Ramsay would pay up to EUR539 million
for 57% of the shares picked up in the French company--the same
percentage it holds in its Ramsay Sante venture with Credit
Agricole. The acquisition would be debt funded, it said.
Sante and Sante Developpement have granted the suitors until
June 6 to undertake exclusive due diligence and make a binding bid.
A transaction is subject to a number of conditions, including
approval from antitrust authorities, and would under French laws
lead to the joint venture bidding for the remaining stake in
Generale de Sante.
Generale de Sante is a leading healthcare company in France,
with annual revenue of about EUR1.7 billion from operations
including surgery, obstetrics, oncology and home medical
services.
The bid comes just days after Paul Ramsay, who founded Ramsay
Health Care in 1964, died after suffering a heart attack. The
company operates 151 hospitals and day surgery facilities across
Australia, the U.K., France and Asia.
Write to Robb M. Stewart at robb.stewart@wsj.com
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