View our summary of the key M&A, private equity and venture capital deals across the UK healthcare sector in October 2023 below.
Notable sector deals: October 2023
Acquisition of Alliance Medical by iCON Infrastructure
A significant deal for iCON Infrastructure, with the £910m acquisition of Alliance Medical Group from South African hospital operator Life Health Group
Alliance Medical is one of the leading independent diagnostic imaging providers in the UK, partnering with c.100 NHS trusts
The asset-backed model fits well with iCON’s investment focus and will also complement the firm’s existing investment into flexible clinical infrastructure provider, Vanguard Healthcare
Growing backlogs across the NHS and increased acceptance of reliance upon the private sector to address these will be seen as opportunities to further enhance Alliance’s presence across the UK diagnostic imaging sector
Spire Healthcare Group’s acquisition of Vita Health Group
Private hospital group Spire has continued its expansion and diversification strategy, with the addition of Vita Health Group for £74 million
Vita Health Group, which had been backed by Archimed since 2015, has grown strongly in recent years and is expected to deliver revenue of over £100m and adjusted EBITDA of £10m in 2024
The business provides outpatient mental health talking therapies, MSK and dermatology services to the NHS, in addition to offering outsourced physio and counselling services to the corporate and occupational health markets
This acquisition enables Spire to expand its capabilities within the mental health and MSK sectors, while broadening its service offerings to corporates
Care Fertility Group’s acquisition of CRGW
A successful acquisition for Nordic Capital-backed Care Fertility, the UK’s largest private fertility group
Centre for Reproduction & Gynaecology Wales (CRGW) is an IVF treatment provider headquartered in Wales, with a network of fertility clinics across the South West
The acquisition will aid geographical expansion for Care Fertility, as the business continues to grow through acquisition following Nordic’s investment
The deal highlights the continued interest from acquirers in independent IVF providers, however greater consolidation of the market means that opportunities of this nature have become more scarce
Acquisition of Psicon by Onebright
Significant expansion for Onebright with the acquisition of Psicon, a provider of neurodevelopmental assessments for Autism and ADHD
Onebright, backed by EMK Capital, is the UK’s largest private outpatient mental health services provider for PMI, corporates and consumers
The acquisition will diversify Onebright’s service offering, with plans to significantly invest in Psicon’s operational and technological capabilities to boost the expansion of the business across the UK
Demand for neurodevelopmental assessments continues to grow, with NHS waiting times increasing and many individuals turning to private providers
We expect to see continued M&A activity in this area as a result
Healthcare market activity: October 2023
Private Equity Activity
Sub-sector | Target | Acquirer / Investor | Exiting PE |
Clinical Services | Alliance Medical | iCON Infrastructure | N/A |
Dental | 3 Birmingham Practices | MyDentist (Palamon Capital) | N/A |
Dental | Harborne Dental Practice | Todays Dental (Lonsdale Capital) | N/A |
Digital Health | iatro | Agilio (August) | N/A |
Fertility | CRGW | Care Fertility (Nordic Capital) | N/A |
Mental Health | Psicon | Onebright (EMK Capital) | N/A |
Medical Transport | MedDX and Shuttlepac | RDI (LDC) | N/A |
Physio / MSK | Vita Health | Spire Healthcare | Archimed |
Venture Capital Activity
Target | Description | Lead Investor | Investment |
Cirdan | Digital tools for pathology clinics | Kernel Capital | £2.3m |
Creature Comforts | Vet care provider | Torch Capital | £7m |
ImmuONE | Artificial lungs for testing of drugs | Mercia | £2m |
Lottie | SaaS platform for care homes | Accel | $21m |
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