The listed funds manager and investment bank has paid $45.4M for the majority share in the aged care provider, which has five aged care facilities with 400 beds and 1,500 bed licenses across 13 sites in development, from private equity firm Next Capital.
The partnership will also establish the Moelis Australia Healthcare REIT and offer third party investors the opportunity to co-invest, with Moelis set to retain a stake of no less than 10%.
Infinite Care’s founders Chris Stride and Tony Partridge will keep their 30% stake and continue to head the business.
Moelis says it will now target a total return of 20%-plus per annum over four years for its co-investors, with the value of Infinite’s fully developed 1,500 bed pipeline estimated at $450M.
Andrew Pridham, Chief Executive Officer of Moelis Australia said “We are excited by the opportunity to …offer our investors exposure to an industry which we believe has very favourable fundamentals, driven by Australia’s rapidly aging population and looming undersupply of aged care facilities.”