STOCKHOLM, Aug 21 (Reuters) – Swedish healthcare company Capio plans to sell its French business to Vivalto Sante in a deal worth up to 455 million euros ($520 million) to focus on its less capital intensive Nordic operations.
Capio, which operates in Sweden, Norway, Denmark, France and Germany and had net sales of 15.3 billion crowns ($1.67 billion) last year, had said in June it was in talks on a possible divestment of its non-Nordic operations.
“The proposed transaction would accelerate the positioning towards the less capital intensive Nordic operations and build on Capio’s leadership positions to further drive growth and shareholder value,” Capio said in a statement.
The deal is subject to due diligence of Capio France by Vivalto, the approval of regulatory authorities and the approval of Capio’s shareholders at an extraordinary general meeting, it said.
“It is anticipated that proceeds from a sale would be used partly to pay down Capio Group debt and partly as a return of cash to shareholders,” the company said.
In July, Capio’s board turned down a 661 million euro takeover offer for the whole group from the French subsidiary of Australian hospital group Ramsay Health Care,, saying it undervalued its business.
Capio shares were up 1.75 percent at 0733 GMT.
