Private-equity firm Apax Partners, London, and other investors have reached a deal partially financed by debt to acquire Kinetic Concepts, a publicly traded wound-care and tissue-regeneration company, for $6.3 billion.
Private investors to buy Kinetic Concepts for $6.3 billion
The deal is expected to close by the end of the year. Under the definitive agreement announced by San Antonio-based Kinetic Concepts, company shareholders will receive $68.50 per share in cash from the consortium of investors. The deal's value also includes Kinetic's outstanding debt.
Other investors in the consortium include the Canada Pension Plan Investment Board and the Public Sector Pension Investment Board, according to Apax Partners.
Kinetic earned revenue of $2 billion in 2010, Apax said, and the consortium said further investments are expected for product development and to expand Kinetic's core business and markets. Three banks have committed secure debt financing for the deal.
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