ACQUISITION OF RESIDENZ GRUPPE BREMEN – ACXIT CAPITAL PARTNERS ACTED AS EXCLUSIVE FINANCIAL ADVISOR TO ORPÉA GROUP
Frankfurt, 22 July 2015. ORPEA has signed an agreement to acquire the family-owned German nursing care group Residenz Gruppe Bremen (RGB). The RGB’ facility network is an ideal fit with Silver Care in terms of geographical coverage, and consists of 3,006 beds across 38 nursing homes. ACXIT Capital Partners acted as exclusive financial advisor to Orpéa Group in German/German transaction. The parties agreed not to disclose any details of the transaction.
- RGB currently operates 2,496 beds in 34 facilities;
- and has 510 beds under construction (capacity extensions and 4 new facilities).
Residenz Gruppe Bremen is an attractive opportunity for ORPEA to strengthen its presence in northwest Germany, and meets the Group’s strategic acquisition criteria:
- It is a high-quality network, with 80% of beds in single bedrooms, its buildings are modern (86% of which are less than 10 years old) and it operates in Lower Saxony, Bremen, North Rhine-Westphalia and Hesse;
- It has a solid reputation for quality and an experienced local management team that will remain with the company;
- It complements the Silver Care’s network very well in geographical terms: certain facilities will fit very well into existing clusters , and a new cluster will be created in the Bremen area;
- There is a strong value creation potential by extending certain facilities, creating new ones, and achieving synergies in terms of purchasing and head office costs.
This new development is fully in line with ORPEA’s expansion strategy in Germany, which involves a combination of creating new facilities and making bolt-on acquisitions. RGB’s integration will take place gradually, and will be made easier by the fact that the company’s culture is identical to ORPEA’s, focusing on high quality care and services, along with commitment to residents and their relatives, as well as to our valued employees.
RGB generated revenue of €67 million in 2014. It will be consolidated from the fourth quarter of 2015, and. The acquisition will be financed entirely from the Group’s cash position.
ACXIT Capital Partners, represented by Thomas Klack and his team, acted as the exclusive financial adviser, with CMS Hasche Sigle acting as ORPEA’s legal counsel in Germany.
After the deal, ORPEA’s German network will have 119 facilities representing 11,980 beds, including 1,037 under construction. As a result, only 12 months after first moving into Germany, ORPEA has doubled the size of its network in that country.
Overall, the ORPEA Group’s total network now consists of 653 facilities representing 63,942 beds, including 9,611 under refurbishment or construction. Facilities outside France now account for 49% of the network, as opposed to 26% at end-2013.
Founded in 1989, and listed on Euronext Paris since April 2002, ORPEA is a European leader in integrated Long-Term Care and Post-Acute Care. The Group has a unique network of 653 healthcare facilities, with 63,942 beds (9,611 of them under refurbishment or construction), including:
- 32,792 beds in France at (3,931 beds under refurbishment or construction) at 354 facilities
- 31,150 beds in the rest of Europe (Germany, Austria, Belgium, Spain, Italy, Czech Republic and Switzerland) at 299 facilities (5,680 beds under refurbishment or construction)
About ACXIT Capital Partners
ACXIT Capital Partners is a leading international corporate finance and investment advisory firm for mid-market clients and entrepreneurs in Europe and beyond. Since 1998, we offer our clients comprehensive corporate finance advisory services including M&A and capital markets advisory as well as restructuring, debt and strategic advisory. As an independent, privately owned firm we maintain offices in Frankfurt, Berlin, Munich, Zurich, Vienna and Hong Kong as well as strong alliances in China, India and the USA.
To date, we have completed more than 350 transactions with a total deal/financing volume of approx. EUR 17bn. Our clients are corporations, family-owned businesses, entrepreneurs, financial sponsors and family offices. While our home market is in the German speaking region, most clients are international and transactions cross-border. (www.acxit.com)
ACXIT Capital Holding GmbH
60323 Frankfurt am Main
Dr. Ingmar Ackermann, Managing Partner
Thomas Klack, Managing Partner
Ruta Morkeliunaite, Executive Director
Stefan Hampker, Analyst
Philipp J. Keller, Analyst