Adamantem Capital, a private equity firm, recently raised A$100m unitranche for its cancer care acquisition. The acquisition is for GenesisCare’s cardiology business in Australia, a cancer care service. The sole provider of this unitranche financing is Barings. The lender on the super senior revolving credit facility is Commonwealth Bank of Australia. Previously on August 5, GenesisCare announced Adamantem Capital as the new investment partner. This is for the GenesisCare cardiology services network called Cardico.
The size of the deal according to the local news report comprises A$200m-A$250m. Financial terms were not disclosed. Apparently, Cardioco is the only Australian provider of cardiology and sleep services. The firm owns more than 100 private practice networks plus a team of more than 100 cardiologists. This comprises respiratory physicians, 700 technicians and support staffs. So far they have more than 200.000 patients across the country. Furthermore, Cardico would also build a partnership with Australia;s VardioNexus, the cardiac diagnostic and remote monitoring services provider.
According to Cardico, this is going to be the firm’s long-term investment plan in end-to-end diagnostic cardiac services. Meanwhile Adamantem Capital’s other investment in the healthcare sector covers Australian community-based healthcare. They are like Zenitas and New Zealand aged care group Heritage Lifecare. The advisors are Grant Samuel, EY, Gilbert+Tobin and Skye Capital. Then, the advisors for GenesisCare are Record Point, Morgan Stanley, PwC, and Herbert Smith Freehills.
Basically, GenesisCare has encountered loan challenges to less than half of their value in the secondary market. This was due to the PE owner KKR’s decision to impose harder transfer restrictions. As a result, it could limit their trading liquidity.
