An investment firm is acquiring a majority stake in one “leading” overseas private radiology practice, the two parties announced on Thursday.
Infratil Ltd. will pony up $254.2 million (USD) to obtain 50.1% to 60% of Pacific Radiology, New Zealand’s largest private diagnostic imaging provider. The group is currently 100% owned by doc shareholders and operates 46 centers, employing 90 radiologists across the country.
Pacific Radiology and its acquirer hope to close the transaction by May 31, with radiologists retaining the remaining 40%-49.9% of shares. Altogether, the deal values the practice at $630 million.
“Pacific Radiology is New Zealand’s largest private provider of diagnostic imaging and has a proven track record for delivering long-term growth, both organically and via acquisition,” Jason Boyes, CEO of the Wellington, New Zealand-based investment firm, said in a statement.
Back in October, Infratil also acquired QScan Group, one of Australia’s top radiology firms, for more than $568 million. Boyes said he sees the Pacific Radiology deal as an opportunity to scale up and create a healthcare platform with “potential synergies and adjacent opportunities.”
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.