CVC sells Quirónsalud to Helios for €5.76bn

Amedeo Goria
06 September 2016

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CVC Capital Partners has sold its majority stake in Spanish hospital group Quirónsalud to German corporate Fresenius Helios for €5.76bn.

The deal saw CVC selling its majority stake in the business alongside Quirónsalud's management team and its CEO Victor Madera, who sold his 7% stake. Helios fully acquired the business as part of the deal.

Helios will issue 6.1 million new shares valued at €400m to Madera, who agreed to a two-year lock-up period.

According to local press reports, the acquisition followed an auction process in which Helios competed with Australian corporate Ramsay. Local media revealed the German firm provided €4bn in equity for the acquisition with the remainder coming in the form of a long-term majority debt facility, as revealed by a source familiar with the matter.

Following the transaction, the merged group will manage 155 healthcare facilities and employ a staff of 100,000. Nonetheless, the two groups will continue operating under their own brands.

Previous funding
According to unquote" data, Spanish buyout house N+1 Private Equity first acquired a minority stake in Grupo Hospitalario Quirón in August 2001 for €30m and subsequently sold its stake to Portuguese competitor Jose Mello Sáude in August 2006.

In May 2012, private equity house Doughty Hanson acquired a 40% stake in the business via its fifth vehicle.

Lastly, CVC acquired a 62% stake in the business in July 2014. Following the transaction, the GP merged the group with its competitor IDC Salud. The deal saw Doughty reaping a 2x money multiple.

Company
Founded in 2014 following the merger between Quirón and IDC Salud, Quirónsalud manages 43 hospitals, 39 outpatient centres and 300 risk prevention centres across Spain and employs 35,000 people. The business also manages five hospitals in public-private partnership with the Spanish public healthcare network.

Headquartered in Madrid, the group generated €2.3bn in revenues and €406m EBITDA in 2015. According to a statement, the company expects a turnover of €2.5bn with EBITDA ranging between €460-480m in 2016.

People
CVC Capital Partners – Javier de Jaime Guijarro (managing partner).
Quirónsalud – Victor Madera (co-founder, CEO).
Fresenius Helios – Stephan Sturm (CEO).