Reuters logo
LPC-Banks ready €1bn of debt as DomusVi goes on the block
April 27, 2017 / 12:49 PM / 5 months ago

LPC-Banks ready €1bn of debt as DomusVi goes on the block

LONDON, April 27 (Reuters) - Bankers are working on debt financings of around €1.1bn to back a potential sale of French nursing home company DomusVi, banking sources said on Thursday.

HomeVi, the holding company of DomusVi, announced on April 19 that its controlling shareholder PAI Partners had begun examining a range of strategic option including a potential sale and an initial public offering, with the process set to last no longer than 12 months.

PAI Partners is in the process of hiring advisers, banking sources said.

An exit comes less than three years after PAI Partners’ acquisition in September 2014, when the company was valued at €639m, according to the buyout firm’s website.

The sale is set to attract a number of interested buyers, the bankers added.

“The process is set to kick off very shortly. They’ve just hired advisers and information will go out soon,” a senior banker said.

Some €1.1bn of debt financing equates to around 6.5 times Domus Vi’s approximate €180m Ebitda, the sources said.

Leveraged loans and high yield bonds are both expected to be on offer from financing banks, the sources added.

PAI Partners declined to comment and HomeVi was not immediately available to comment on the financing.

“This is a good debt story. It is a sector that people like and DomusVi has quite good exposure to the wealthy part of France in the North West and Paris. As for the equity story, there is still some consolidation to be done,” a second banker said.

DomusVi provides services to 40,000 residents and customers in 315 nursing homes, 16 residential facilities, five mental care facilities and 48 home care agencies throughout France, Spain and China. The group employs more than 28,000 people.

Editing by Christopher Mangham

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below