NorthWest Healthcare’s Proposed Acquisition of Hospitals from Healthscope and Brookfield
|Areas||Corporate and Commercial, Corporate Finance and Securities, Mergers and Acquisitions, Tax|
NorthWest Healthcare has entered into definitive agreements to acquire 11 freehold hospital property assets from ASX-listed Healthscope Limited and its affiliates for approximately $1.2 billion as part of a sale and leaseback transaction. Through leveraging its capital relationships, NorthWest intends to structure the Property Transaction such that it will manage the Portfolio and ultimately maintain an approximately 25% - 30% ownership interest.
The Transaction follows NorthWest Australia's previously disclosed acquisition of a strategic interest in Healthscope and today's announcement by Healthscope that it has entered into a binding agreement with Brookfield Business Partners L.P. (NYSE: BBU) (TSX:BBU.UN) together with its institutional partners to acquire up to 100% of Healthscope shares. The Property Transaction is conditional on Brookfield's completion of the Healthscope Acquisition and NorthWest and its affiliates obtaining approval under the Foreign Acquisitions and Takeovers Act 1975, both of which are expected to occur in Q2-2019.