Spire Healthcare has agreed a £15.7m deal to buy the Claremont Private Hospital in Sheffield from Aspen Healthcare as it plots more purchases and expansion.
The transaction will see Spire take Aspen’s 87% controlling stake in the facility with the deal expected to complete in late October or early November.
Spire said the property filled a gap in its geographic coverage and that it was on the look out for more ways to expand its reach.
The move comes in response to the rejection of a proposed £1.4bn takeover of Spire by Ramsay Health Care in July and after a record surge in self-pay patients in the first half of 2021.
“Claremont Private Hospital provides the company with a high quality hospital in South Yorkshire, an area with a large population where Spire Healthcare currently has no presence, and where the group anticipates strong demand for self-pay procedures,” it said.
It added: “Spire Healthcare will continue a proactive review of the hospital portfolio, seeking to fill white space in the network through bolt-on acquisitions and management contracts when opportunities arise.”
The hospital will become Spire’s 40th in the UK and it also has eight clinics.
‘Business as usual’
Claremont Private Hospital has 46 beds, three operating theatres and specialises in orthopaedics, general surgery and neurosurgery, and was rated outstanding by the CQC in 2017.
Spire said the hospital generated £20.3m of revenue in 2019, with proforma earnings before tax, depreciation and amortisation (EBITDA) of £2.7m, and expects it to be a positive financial addition in the first year.
The remaining 13% stake in the hospital is owned by a group of consultants most of whom have practising privileges at the hospital.
Aspen Healthcare has seven other facilities around the country and issued a statement confirming the transaction, adding that it remained business as usual at Claremont, with no disruption to services at the hospital.
“Both Claremont Hospital and Spire Healthcare’s overriding interest is that patients continue to receive safe, effective and high-quality treatment,” it said.
“If you are a patient and have an appointment to receive treatment or care, this will go ahead as planned and you can expect to receive the same high-quality healthcare from Claremont Hospital.”