Advanced Health, an operator of day hospitals in South Africa, announced that its controlling shareholder, Eenhede Konsultante, has made an offer to acquire the majority of its minority shareholders.
- Eenhede Konsultante, owning almost 58% of the company, proposed a buyout at 80c per share, representing a 100% premium over the share price at Wednesday’s market open.
- The offer aims to acquire approximately 29% of Advanced Health’s shares that Eenhede Konsultante and a group of three other shareholders do not already own.
- Following the announcement, Advanced Health’s shares surged by 87.5% to reach 75c, resulting in a market valuation of R374 million.
- Since its listing on the JSE in 2014, Advanced Health has struggled to attract significant institutional interest, hindering its access to institutional capital and facing ongoing compliance costs.
- The company operates nine day hospitals in South Africa and five in Australia, focusing on providing cost-effective access to healthcare through same-day surgical services and diagnostic procedures.