Jan 26 (Reuters) – Shares of Spire Healthcare surged as much as 20% on Monday after the British private hospital group confirmed over the weekend it was in preliminary talks with multiple buyout firms including Bridgepoint and Triton to “explore strategic options”.
The company’s shares, which have fallen 26% in the last twelve months until its last close on Friday, were up 16.2% at 207 pence by 0845 GMT, giving it a market valuation of 710.1 million pounds ($969.50 million), according to LSEG data.
The stock had dropped almost 14% since Spire first confirmed a strategic review of its operations in September, saying it was in discussions with several parties to explore options, including a possible sale.
The FTSE-250 company has engaged Rothschild & Co as its financial adviser as part of the strategic review, and said discussions were at an early stage with no certainty of a deal materialising.
Spire operates 38 hospitals and more than 50 clinics, medical centres and consulting rooms across England, Wales and Scotland. The confirmation of talks comes after reports that it had asked prospective buyers to register expressions of interest by January 20.
In December, the company said it expects annual adjusted core profit to be at the bottom end of its guidance range of 270 million pounds to 285 million pounds.
($1 = 0.7324 pounds)
(Reporting by Rishab Shaju and DhanushVignesh Babu in Bengaluru; Editing by Rashmi Aich and Devika Syamnath)
