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Abano Healthcare Group has today announced the conditional sale of its brain injury rehabilitation business to Bupa Care Services NZ Limited. Bupa, which is a global leader in the provision of specialised care services, has acquired 100% of the shares of Abano Rehabilitation Limited, Abano’s brain injury rehabilitation group. Settlement is planned for the end of June 2012, following satisfaction of standard change of control conditions.
Abano’s chairman, Trevor Janes, commented: “Abano was approached by interested parties to acquire the brain injury rehabilitation business, and following this, we conducted an extended and careful review. Bupa has a strong reputation, an established track record, a commitment to high quality care delivery and is financially sound. The offer was an attractive one, and therefore we are pleased to announce the sale today to Bupa Care Services.”
Abano Rehabilitation offers assessment, residential and community rehabilitation, particularly for those with a brain injury. These services are mostly funded by the Accident Compensation Corporation (ACC), Ministry of Health (MoH) and various District Heath Boards (DHBs). The organisation operates in a fixed price, non fee for service, publicly funded environment, with a strong focus on delivering services purchased under specific contracts.
Managing director of Abano, Alan Clarke, commented: "Abano’s strategy is to invest in businesses where there is real scale and an opportunity to add value, and where the business is predominantly funded by private payment.
“This is a positive move for both Abano Healthcare Group and Abano Rehabilitation. Bupa is recognised as a world leader in providing healthcare services, and their experience and expertise in the care sector will be of considerable benefit in the ongoing growth and development of Abano Rehabilitation.
“We were pleased to find an organisation which is familiar and comfortable in the Government funded contracting environment, will continue to value and nurture the business, and which is committed to maintaining our established high standards of care and service.”
The Abano Rehabilitation business has been sold for a consideration above book value, with proceeds to be applied to the reduction of debt, and to support Abano’s ongoing investment into its growth sectors, particularly, Dental in New Zealand and Australia, Radiology in New Zealand and Audiology in Australia and South East Asia.