A consortium led by private equity giant KKR and infrastructure specialist Stonepeak Partners is on the verge of acquiring Assura, a major NHS landlord, in a deal valued at £1.6bn deal, marking another potential London-listed exit from the UK market, according to report by the Financial Times.
KKR and Stonepeak have made a non-binding offer of 49.4p per share, representing a 32% premium to Assura’s closing price before KKR’s interest was first revealed last month.
On Monday, Assura’s board indicated it would be “minded to recommend” the deal should a formal offer be made on these terms. The company has previously rejected four approaches from KKR, including a 48p per share bid last month.
Following the announcement, Assura’s shares rose 14% in early London trading, reaching 46.5p.
KKR initially partnered with the Universities Superannuation Scheme (USS) for a potential takeover, but USS later withdrew from the deal. Last year, Assura and USS had formed a joint venture to invest in NHS infrastructure.
Assura also turned down an all-share merger proposal from Primary Health Properties, which was valued at approximately 43p per share, determining that the KKR-Stonepeak cash offer was more compelling.
As a FTSE 250-listed company, Assura owns hundreds of doctors’ surgeries and healthcare centres across the UK, with an investment property portfolio valued at £3.2bn as of September 2023.
The proposed buyout is the latest in a series of London-listed firms being taken private by investors seeking undervalued assets. Darktrace and Hargreaves Lansdown were among several UK companies acquired last year.
Other recent transactions include Brookfield and Segro’s acquisition of Tritax EuroBox’s warehouse portfolio.
