The radiology services company Virtual Radiologic Corp., Eden Prairie, Minn., has struck a deal to be acquired by Providence Equity Partners, a Providence, R.I.-based private-equity firm, for $294 million.
Private-equity firm to acquire Virtual Radiologic
The all-cash deal calls for Providence to pay $17.25 per share to acquire all outstanding shares of Virtual, which is currently a publicly traded company. Once completed, Virtual would become a private, wholly owned subsidiary of Providence Equity.
Virtual's board has approved the acquisition, but the deal is still subject to shareholder approval and customary regulatory review and approval. Virtual cofounder and Chief Medical Officer Eduard Michel owns 6% of the company's common shares and has said he would vote in favor of the buyout.
The acquisition is expected to be completed during the third quarter of 2010.
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