InfraVia acquires Irish hospital group

The French fund manager has agreed to buy Mater Private from US private equity firm HarbourVest Partners.

InfraVia Capital Partners has returned to Ireland one year after making its first investment in the country’s social infrastructure sector, this time to buy an acute healthcare group.

Mater Private operates two major acute hospitals in Dublin and Cork, two cancer centres in Limerick and Liverpool and several outpatient clinics across the country.

While the French fund manager did not disclose financial details, reports estimate the deal to be valued at €500 million.

Established in 1986 by the Sisters of Mercy, Mater Private Healthcare has changed hands several times. One of its recent owners was UK-based private equity firm CapVest, which in 2007 reportedly paid €350 million for a 51 percent stake in the private healthcare group. According to a document issued by Ireland’s Competition Authority at the time, CapVest acquired MPH through Fulsa, a wholly owned subsidiary of CapVest Equity Partners II. Boston-based HarbourVest Partners acquired the fund that included MPH last October for an undisclosed amount, while CapVest continued to manage it.

HarbourVest declined to comment for this story, while CapVest did not respond to a request for comment.

InfraVia did not disclose any details about the transaction and also declined to comment. It is unclear whether the French fund manager is financing the acquisition through InfraVia European Fund III, a vehicle it closed on €1 billion in October 2016, or its newest vehicle, which it is in the process of raising. According to a document filed with the SEC, as of 13 April, InfraVia had raised $84.2 million for InfraVia European Fund IV.

The fund manager used fund III last June to finance its first investment in social infrastructure when it acquired CareChoice, Ireland’s second-largest private owner and operator of nursing homes, for around €70 million, according to Infrastructure Investor. At the time, fund III was roughly 70 percent deployed.