“Diagnostic imaging is an essential service industry, offering a combination of defensive features and long-term structural growth.
“We also see it as an opportunity to scale Infratil’s investment in the Qscan group and create a meaningful healthcare platform in Australia with potential synergies and adjacent opportunities.”
In the slide platform for investors, Infratil exposed that there are possible synergistic benefits with Qscan, including the sharing of IT infrastructures and investments in AI, acquisition of equipment / technology. There are also growth options in Auckland, where it currently does not operate facilities, but also in smaller regional areas.
Pacific Radiology has approximately 70% market share in its catchment areas.
He added that the ability of tele-radiology to scale would allow the group to group the volume between sites to improve overall utilization and allow for greater subspecializations.
Infratil was founded and publicly cataloged by Morrison & Co. in 1994 as a vehicle that offers New Zealand investors access to long-term infrastructure investments. Infratil’s portfolio includes renewable energy companies, airports, data and connectivity and social infrastructure in New Zealand, Australia and North America.
The acquisition value of the company of 867 million US dollars involves a debt with multiple profits of 12.6 to 13.3 times.
Boyes added that the agreement confirms the company’s confidence in the New Zealand market and the issues that drive capital allocation in communications and digital infrastructure, decarbonisation and an aging population.
The president of Pacific Radiology, Dr. Adrian Balasingam said medical shareholders are happy to partner with a capable long-term investor, which will add value as Pacific Radiology continues to grow and expand.
The completion of the acquisition is conditional on the counterparty’s consent to change control in relation to a small number of major contracts. Assuming these consents are given, it is expected to be completed by May 31st.
The deal is funded by a connection facility, however, once the sale of Tilt Renewables is completed, Infratil will pay off its withdrawn bank debt, including the Pacific Radiology acquisition bridge facility, leaving a net balance. treasury of more than A $ 1 billion.