Healthscope, Owners Said to Raise $2.1 Billion in Australia IPO

Healthscope Ltd. (HSO) and its private equity owners raised A$2.25 billion ($2.1 billion) in Australia’s biggest initial public offering in more than three years, people with knowledge of the matter said.

Australia’s second-largest private hospital operator and existing investors sold about 1.1 billion shares at A$2.10 each, above the midpoint of a marketed range, said the people, who asked not to be identified because the information is private. Healthscope, backed by TPG Capital and Carlyle Group LP, offered the shares at A$1.76 to A$2.29 apiece.

The Healthscope IPO is Australia’s biggest first-time share sale since October 2010, when rail operator Aurizon Holdings Ltd. raised A$4.3 billion, data compiled by Bloomberg show. Before Healthscope’s offering, Australian IPOs raised A$5.2 billion this year, the data show.

Healthscope plans to start trading on the Australian Stock Exchange on July 28, according to the share-sale prospectus. An external spokeswoman for TPG and Carlyle didn’t immediately return a phone call seeking comment. The Australian Financial Review reported the IPO pricing earlier today.

The company, which the private equity firms bought in 2010, operates 44 hospitals including the Prince of Wales Private Hospital in Sydney and Melbourne Private Hospital, according to its website. It also runs pathology centers in Australia, New Zealand and Asia.

TPG and Carlyle will keep a combined 38 percent stake in Healthscope after the offering, which values the company at about A$3.6 billion, the people said.

Macquarie Group Ltd. (MQG) and UBS AG were global coordinators of the IPO, while Bank of America Corp., CIMB Group Holdings Bhd., Credit Suisse Group AG and Goldman Sachs Group Inc. were joint lead managers.

To contact the reporters on this story: Benjamin Purvis in Sydney at bpurvis@bloomberg.net; Brett Foley in Melbourne at bfoley8@bloomberg.net

To contact the editors responsible for this story: Philip Lagerkranser at lagerkranser@bloomberg.net Ben Scent

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