Latest news with #R41bn
IOL News
3 days ago
- Business
- IOL News
Sana Bidco raises final offer for Assura to £1. 7bn as board withdraws support for rival PHP bid
Assura, a leading UK healthcare real estate investment trust, on Tuesday accepted a sweetened, best and final cash offer from private equity-backed Sana Bidco, valuing the company at approximately £1.7 billion (R41bn). Image: File Assura, a leading UK healthcare real estate investment trust, on Tuesday accepted a sweetened, best and final cash offer from private equity-backed Sana Bidco, valuing the company at approximately £1.7 billion (R41bn). Assura is listed on the London Stock Exchange with a secondry listing on the JSE. The deal comes after a brief bidding war with Primary Health Properties (PHP), which has now been effectively sidelined. Sana Bidco - a consortium formed by US private equity giant Kohlberg Kravis Roberts (KKR) and infrastructure investor Stonepeak - increased its cash offer to 50.42 pence per share, up from its original bid announced on April 9. Including declared dividends of 1.68 pence, the offer values Assura shares at 52.1 pence, representing a 39.2% premium over the pre-offer closing price on February 13. It values the entire issued and to be issued ordinary share capital of Assura at approximately £1.7bn on a fully diluted basis. In a statement, Assura said the revised terms are now unanimously recommended by its board, following a 'careful and thorough' evaluation of the rival PHP bid, which was announced in May and offered a mix of shares and cash. "The Board's decision to recommend the offer from KKR and Stonepeak follows a careful and thorough evaluation of both offers, during which the Board has been firmly focused on its fiduciary duty to shareholders," said Assura's non-executive chair Ed Smith. "KKR and Stonepeak are highly experienced investors in healthcare and infrastructure and I am confident that with their support, and the additional capital they will provide, Assura will continue to deliver the high-quality healthcare infrastructure our communities need." Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Certainty Over Synergies The board cited several concerns over PHP's proposal, saying it "presents material risks and downsides to Assura shareholders, which undermine the potential benefits of the proposed combination under the PHP offer". Concerns including: Elevated leverage " significantly exceeding the target loan-to-value ratios of both Assura and PHP" , , Execution risk: The Assura Board noted the intention of PHP to reduce leverage of the combined group through asset disposals, including that of Assura's portfolio of UK private hospitals. Reduced exposure to long-dated, inflation-linked leases. The PHP offer would have involved asset disposals, notably Assura's private hospital portfolio, to manage debt – a move the Assura board viewed as high-risk and potentially value-destructive. The Assura board said it believes that Bidco's best and final increased cash offer provides the certainty of cash today to Assura shareholders, alongside long-term capital to fund significant investment in the UK's healthcare infrastructure and support investments in the NHS estate. The Bidco offer now moves forward via a traditional takeover offer under the Companies Act, replacing the previously proposed scheme of arrangement. The switch allows Bidco to move quicker and provides more deal certainty. To succeed, Bidco must secure over 50% of Assura's share capital, a threshold it aims to surpass with acceptances and acquisitions. With the board's full support, a higher cash price, and diminishing prospects for the PHP proposal, the path appears clear for Bidco to take control of one of the UK's most prominent healthcare landlords in the coming weeks. BUSINESS REPORT Visit:
TimesLIVE
22-05-2025
- Business
- TimesLIVE
Transnet gets R51bn government guarantee
The government has agreed to give ailing state-owned logistics group Transnet a R51bn guarantee facility, the transport ministry said on Thursday. Transnet has struggled to provide adequate freight rail and port services for years because of equipment shortages and maintenance backlogs linked to underinvestment, with cable theft and vandalism also damaging the rail network. The support package comprises a R41bn guarantee for Transnet's funding requirements in the 2025/2026 and the 2026/2027 financial years and a R10bn guarantee to help it service debt and make capital investments. Transnet said the support would allow it to build on progress with strategic rail and port reforms.
