Estia Health marches on with Not For Profit aged care acquisitions
The latest deal continues the operator’s acquisition strategy as it expands its national aged care footprint.
Estia Health will acquire Not For Profit AnglicareSA’s six residential aged care homes in Brompton, Elizabeth Dutton Court, Elizabeth East, Grange, Trott Park and Westbourne Park.
The acquisition comes as Boston-based Bain Capital progresses its agreed sale of Estia to private equity investors Stonepeak and Axight announced in May.
The acquisition will add 579 residential aged care places to Estia’s South Australian portfolio. Subject to completion, around 850 employees are expected to transfer to Estia Health.
AnglicareSA said it agreed to sell its six residential aged care homes after a direct and confidential approach from Estia and a subsequent review of its services.
“The decision follows a comprehensive review of our residential aged care services to ensure strategic alignment and guaranteed continuity of a high standard of care,” AnglicareSA CEO Grant Reubenicht said.
The deal is expected to settle in late October, subject to regulatory approvals and customary conditions.
“AnglicareSA has built a strong and respected legacy over many years and we are committed to honouring that legacy while ensuring a smooth and respectful transition,” Estia Health CEO Sean Bilton said.
Estia already has 20 aged care homes across South Australia.
The provider was listed on the ASX from 2014 until 2023, when Bain Capital acquired it for $838 million, valuing the company at around $280,000 per bed. At the time, The Weekly SOURCE described the sale as “rolled gold” for Bain. Today, the cost of building a new aged care bed is around $500,000.
Under Bain, Estia Health grew from 73 homes with approximately 6,720 places to 93 homes and approximately 9,250 places.
This new transaction takes the operator to 102 homes, cementing their position as Australia’s second largest residential aged care provider after Opal HealthCare.
