Mr. Giles told AFR weekend It’s a fantastic business, and EQT is the perfect next-door keeper of the business.
“They have a really value-based approach to investing and they have social values and great community offerings, and I think that’s because of the success they have had with health investments around the world,” he said.
Mr. Giles added that, as founders, you knew when to step down, as he and Ms. Reid did.
“I think this is the next milestone today, so we will not have any economic interest in the future, but will be interested in the company and its services and its success forever.”
EQT, which defeated competitor Morrison & Co. has acquired approximately 70 percent of the stake, while Goldman Sachs has retained its 17 percent stake and doctors and management have the remainder.
Icon has an established network of comprehensive cancer centers and clinical research centers in Australia, Singapore, Mainland China, Hong Kong and New Zealand that provide high quality radiation and oncology day-to-day services near where you live.
The attractiveness of the Australian market
Ken Wong, partner and leader of the Asia Pacific advisory team at EQT Infrastructure, said AFR weekend the company likes the healthcare sector in Australia.
“Healthcare is in line with our highly thematic investment approach and is also purpose-built,” he said.
“Australia in particular is a great market to invest in because of the macro dynamics of the healthcare industry. There is a positive mix of private and public funding systems. But the most important thing is a good operator base, and I think we have certainly found that with Icon. “
Mr. Wong will join the Icon board of directors but will appoint an independent chairman. None of EQT’s portfolio companies has an EQT representative as chairman; She prefers to use industry consultants with industry expertise.
EQT is one of the largest and most active private equity investors in the healthcare sector worldwide, having completed approximately 40 transactions in the healthcare sector over the past decade. It previously had diagnosis Imaging provider I-MED and now owns Metlifecare retirement villages in New Zealand.
Stephanie Hui, Co-Head of Alternative Investing at Goldman Sachs Asset Management in Asia, said over four years as a majority investor that the Icon model has proven its strength and that there is potential for further growth.
“We remain as shareholders and will use our global network, capital and industry expertise to continue supporting Icon’s management and doctors,” she said.
Icon, which has 48 cancer centers worldwide, was advised by Goldman Sachs, Jefferies Australia, KWM and PwC. EQT was advised by Morgan Stanley, Herbert Smith Freehills, Deloitte and PwC.
The company also controls Epic and Slade Pharmacy, which provide medication management and pharmacy services to the hospital and oncology sectors, and Slade Health, Australia’s largest chemotherapy compounder.
About 80 percent of the group’s revenue is generated in Australia, with cancer treatment accounting for half of its revenue and the remainder being split between compounding (30 percent) and pharmaceuticals (20 percent).
The high price, including the debt, is a multiple of roughly 16.5 times the earnings before interest, taxes, depreciation and amortization for fiscal year 2021.
Icon CEO and interim chairman Mark Middleton said the company’s commitment to innovation and the delivery of cancer treatments is limitless.
“Our international network has a track record of providing world-class cancer treatments in areas of unmet need,” he said. “Now we can drive the next phase of global growth and market leadership through further investments in critical infrastructure and cutting-edge technologies.”
As for Mr. Giles and Ms. Reid, the final sale of Icon will allow them to focus on other interests within Arc31, their family office. These range from a provider of diagnostic imaging services and a health-focused investment fund in Israel to a tattoo removal company in the United States.
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