Nordic Capital, Avista to offload ConvaTec stake to Novo

1857

Nordic Capital and Avista have agreed to sell a 19.95 per cent stake in medical technology business ConvaTec Group to Novo Group.

Through the placing, Nordic and Avista have sold an aggregate of 375 million ordinary shares in ConvaTec at a price of 260 pence per share, raising gross proceeds of £975m.

The pair said they will also sell around 300 million shares via an accelerated bookbuild, which represents a 15.37 per cent stake in the company.

Goldman Sachs, Merrill Lynch, and UBS Limited have been appointed as joint bookrunners
Following the sale and proposed placing, Nordic Capital will own a 18.79 per cent stake and Avista will hold 8 .19 per cent.

ConvaTec Group develops, manufactures, markets and distributes medical devices for the treatment of chronic care conditions, with products serving the advanced wound care, ostomy, incontinence and infusion device markets.

Back in 2008, Bristol-Myers Squibb Company agreed to sell ConvaTec to Nordic Capital Fund VII and Avista Capital Partners for approximately $4.1bn.

During their ownership, the company has undergone operational improvements, organic growth and complementary acquisitions.

Key acquisitions include Unomedical, a leading manufacturer of single-use medical devices based in Copenhagen, and 180 Medical, through which ConvaTec distributes intermittent urological catheters directly to patients in the United States.

ConvaTec Group was listed on the London Stock Exchange in October 2016, representing the largest UK of the year and the largest European healthcare listing in history according to Nordic.

Copyright © 2016 AltAssets

Get the latest PE News & Research delivered to your inbox every morning