Equistone sells stake in Médi-Partenaires through merger with Médipôle Sud Santé

Equistone Partners Europe Limited (“Equistone”), one of Europe’s leading mid-market private equity managers, has sold its stake in Médi-Partenaires (“the Company”) after a nine-year investment in the private healthcare operator.

Having supported Médi-Partenaires’ MBO in 2005 alongside Cobalt Capital and management, Equistone kept a holding in the Company when LBO France led a subsequent buyout two years later. Since its initial investment, Equistone has supported the company’s growth. In particular, this growth has seen the number of clinics almost double over the nine-year investment period. 

Equistone’s exit sees Médipôle Sud Santé and Médi-Partenaires merge to form the number two player in private hospitals in France, with total combined revenues of approximately EUR 830 million for 2013. Upon completion, a consortium led by Marcel Hermann, the management team, Bridgepoint and its co-investors will acquire 100% of Médi-Partenaires, including the stakes owned by LBO France and Equistone. 

The newly formed group will have 60 healthcare units throughout France, 6,300 beds and 8,500 employees including 2,600 doctors to take care of one million patients a year.  

The transaction is subject to regulatory approval; the deal is expected to complete in summer 2014. 

Guillaume Jacqueau, Managing Partner of Equistone Partners Europe, said: 

“Since 2005, the Equistone team has partnered with Médi-Partenaires to build its skills in acquiring and running private clinics, whilst offering its patients an ambitious quality policy. At a time when the French healthcare sector faces significant challenges, the newly formed Group will be well-positioned to take on these challenges, while continuing to provide its patients with the highest level of care.”