In our final monthly snapshot of 2022, we summarise the key deals across the UK healthcare sector in December.
A PDF copy of the report can be downloaded here:
Notable sector deals: December 2022
RCI’s acquisition of Prometheus
RCI’s acquisition of Prometheus represents the fifth bolt-on for the business since Literacy Capital’s investment into the original platform, Mountain Healthcare, in 2018
Prometheus is a provider of secure transportation services in the mental health sector, and has also expanded into specialist observation services
The deal further diversifies RCI Group’s offering, which started in the operation of sexual assault referral centres (SARCs) through Mountain Healthcare, and has expanded to cover community mental health services, communication support in the criminal justice system, and healthcare data benchmarking
Dual acquisitions for Swanton Care
Another two acquisitions for Apposite-backed specialist care provider, Swanton Care, as it continues to execute its buy and build strategy
Wycombe Care operates two children’s homes in Bedfordshire, whilst CHAD operates a specialist care home for adults within learning disabilities in the North East
Now providing care to over 620 people through a staff base of over 2,140, Swanton has grown rapidly since Apposite’s investment in 2017
The deal highlights that there are further consolidation opportunities available within both residential children’s services and specialist care for adults
Acquisition of London Doctors Clinic by Spire Healthcare
An interesting deal for Spire Healthcare, with the acquisition of private GP and occupational health provider, London Doctors Clinic (“LDC”)
Under the ownership of Oakfield Capital, LDC has grown to £11m turnover but, like many others in the private GP market, has struggled to show profitability
Consideration of £12m looks high, however Spire believe the business will break even in 2023 and become profitable in 2024
The deal appears logical as a way of sourcing referrals into Spire’s hospitals through LDC’s GP network, in addition to the possibility of cross-selling to the corporate client base of LDC
KKR’s acquisition of Clinisupplies
A carve-out deal for KKR with the acquisition of Clinisupplies, the Watford-based manufacturer and distributor of continence care products for managing acute and chronic conditions
The business was divested from Healthium Medtech, an Apax-backed business which is set to IPO, despite only being acquired by the group in 2016
With KKR’s backing, Clinisupplies plans to expand into new products and geographies, with the aim of becoming an international leader in the chronic care market
Healthcare market activity: December 2022
Private equity activity
Sub-sector | Target | Acquirer / Investor | Exiting PE |
Specialist Care | Wycombe Care & CHAD Homes | Swanton Care (Apposite) | N/A |
Private GP | Doctors Clinic Group | Spire Healthcare | Oakfield Capital |
Medical Transport | Prometheus | RCI Group (Literacy Capital) | N/A |
Medical Products | Clinicsupplies | KKR | N/A |
Medical Products | Kinneir Dufort | SteriPack (Inflexion) | Mobeus |
Venture capital activity
Target | Description | Lead Investor | Investment |
WeWalk | Smartphone-connected cane for the visually impaired | Nesta Impact Investments | £2m |
Believe Care | Home care provider | Skagen Conscience Capital | £2.1m |
Virtue Health | Develops innovative approaches to treat age-related conditions | Midven | £1m |
Added Health | Health coaching platform | Traditum | £1m |