Advised Nordic Capital on its acquisition of Prospitalia, a leading healthcare-spend management and technology-enabled clinical solutions company and portfolio company of Five Arrows
Jul 2018
(a portfolio company of Five Arrows)
$725 million
  • Sector: Digital Health
  • Deal Type: Private Equity Deals
  • Engagement type: Buyside
  • Size: $725 million

-Prospitalia is a leading healthcare-spend management and technology-enabled clinical solutions company for acute, post-acute and other healthcare service providers and vendors in Germany.

-Founded in 1993 and headquartered in Ulm, Germany, Prospitalia started as a Group Purchasing Organisation for healthcare providers.

-In recent years, the company has tapped into the significant opportunity for technology-enabled clinical solutions.

-The company has almost 200 employees and serves over 3,000 customers in Germany, the UK, the Netherlands and Australia, with an aggregated managed spend of €2.4 billion creating deep and long-standing relationships with healthcare providers as well as suppliers.

-Nordic Capital (“”NC””) focuses on selected regions and sectors where it has deep experience and a proven track record.

-Core sectors are Healthcare, Technology & Payments, Financial Services, Industrial Goods & Services and Consumer & Retail, and key regions are the Nordics, Northern Europe, and globally for Healthcare.

-Since inception in 1989, NC has invested more than €12bn through eight funds.

-Latest fund: Nordic Capital VIII, €3.5bn.

-Healthcare is NC’s most active / successful vertical and they are eager to invest in tech-enabled healthcare

-NC has already invested in 22 companies in the healthcare space, of which 14 have been exited and 8 are still portfolio companies

-The DACH region is also a major focus as they look to expand further in Northern Europe

-Four NC’s healthcare portfolio companies are based in Germany: Ober Scharrer Gruppe, Alloheim, GHD and Sunrise Medical

-Ober Scharrer is a recent acquisition (March 2018) and shares synergies potential with Prospitalia: the company is engaged in providing ophthalmic treatments and medical care to public and private patients

-Arma acted as exclusive financial advisor to NC in the acquisition of Prospitalia from Five Arrows

-The transaction illustrates Arma’s leadership in advising companies in the Healthcare IT sector, leveraging its deep domain expertise and first class execution capabilities

-Arma supported NC with a variety of activities, including:

  • Valuation
  • Views and analysis of potential future acquisition targets
  • Preparation of materials for NC’s investment committee
  • Coordination of due diligence
  • Management of VDR and Q&A
  • Transaction negotiations, strategy and structuring

– This transaction highlights Arma’s long-standing track record of working with private equity clients to secure successful cross border deals