British clinics chain the Priory Group was sold to Dutch bank ABN Amro by its private equity owners in a deal worth €1.29 billion.
The Netherlands's biggest bank said today's deal, worth €1.29 billion in equity and debt, with British buyout firm Doughty Hanson allows it to invest in a fast-growing company with multiple investment banking needs.
Priory's cashflow will also allow ABN Amro to issue debt as well as giving ABN Amro a real-estate portfolio that includes 40 health care facilities, said Mike Nawas, global head of fixed-income capital markets at the Dutch bank.
Priory's clients have included Ron Wood of the Rolling Stones and model Kate Moss. The group operates 1,700 beds at hospitals, care homes and specialist care facilities, including Roehampton, London's oldest private psychiatric hospital, ABN Amro said.
ABN Amro also plans to sell stakes in Priory to other investors but will hold onto the largest share in the business, albeit a minority stake, said Mr Nawas.