Waterman Capital has today confirmed it has
acquired 22% of the company which owns Auckland's Mercy and Ascot
Auckland-based Waterman Capital's shareholding in Healthcare
Holdings Limited, the holding company which owns MercyAscot
Hospital, has been acquired from Emerald Group.
MercyAscot Hospital is the largest private hospital operator in
Auckland, with 19 operating theatres and over 250 beds across the
city. It is a leader in cancer care, orthopedics, neurology and
cardiology. The business also holds interests in a number of
complementary joint ventures in the areas of cancer care,
angiography, radiology, PET-CT scanning, endoscopy, laparoscopy and
other general day surgery operations.
Additional assets within Healthcare Holdings include a majority
interest in Kensington Hospital in Whangarei, and a minority
interest in Boulcott Hospital in Lower Hutt.
New Zealand's ageing population has led to a major increase in
healthcare expenditure in the last decade. The proportion of the
population aged 65 years or older is estimated by Treasury to be
12%, but that group accounts for 40% of health expenditure. By 2050
the proportion of the population aged over 65 years is expected to
be 24% with the share of total health spending increasing to
Executive director of Waterman Capital, Chris Marshall, says
that the acquisition puts Waterman and its investors in a good
position to benefit from these key demographic trends. Marshall
will join the board of Healthcare Holdings.
"The key attraction for Waterman is the many opportunities for
growth available to Healthcare Holdings. The business has a quality
management team which has been together for some time with a clear
mandate to execute on those opportunities."
The business recently invested in a leading edge Positron
Emission Tomography - CT (PET-CT) scanning facility, which Marshall
says is an example of showing leadership in the area of cancer
care. PET-CT scanning enables the presence of cancers, and
particularly their progress, to be assessed much more accurately
than traditional diagnostic technologies.
Managing Director of Healthcare Holdings, Andrew Wong, welcomed
Waterman as a cornerstone shareholder. "We look forward to working
with Waterman. We have some exciting prospects ahead of us, they
clearly understand these and are looking to support us through this
For more information please contact:
About Healthcare Holdings
Established in 1997, Healthcare Holdings owns and operates the
Mercy and Ascot hospitals in Auckland, holds a majority interest in
the Kensington Hospital in Whangarei and is a minority shareholder
in Boulcott Hospital in Lower Hutt. The business also
operates a number of joint ventures in the areas of angiography,
radiology, PET CT scanning, endoscopy, laparoscopy and other day
Additional information is available at www.mercyascot.co.nz
About Waterman Capital
Waterman Capital is a New Zealand owned and based private equity
firm established by Matt Riley and Chris Marshall in 2004. It is
focused on investing in and adding value to mid-market businesses
in New Zealand. Waterman Capital was the first manager
appointed by the Guardians of the NZ Superannuation Fund for its
Expansion Capital Strategy in 2010.
For more information visit www.waterman.co.nz.