China’s Luye Medical to buy Australian Private-Hospital Operator, Healthe Care Australia Pty. Ltd

Healthe Care Australia Pty. Ltd., one of the country’s largest private-hospital operators, will be bought from private equity owner Archer Capital by China’s Luye Medical Group Co. for 938 million Australian dollars (US$688 million).

The health-care company said in a statement Sunday a sale had been agreed with Luye Medical, a division of Luye Group which also has a significant stake in Hong Kong-listed Luye Pharma Group Ltd.

Acquired by Archer in mid-2011, Sydney-based Healthe Care operates 17 hospitals with more than 1,800 beds located in major cities and key regional areas across Australia. Under Archer, the company has teadily expanded with a series of acquisitions, including Townsville Private in 2014 and Robina Private earlier this year.

“There are very few private hospital portfolio acquisition opportunities anywhere in the world and to be able to enter the Australian market with an acquisition of scale such as Healthe Care represents a reat opportunity,” Luye Group Chairman Liu Dian Bo said.

He said the deal would provide the Chinese company with a platform to build a health-care services company in Australia, China and other parts of Asia.

Archer was advised on the deal by Luminis Partners and Morgan Stanley, while Luye Medical was advised by Barclays, the companies said in the statement. The acquisition is expected to be completed in the first quarter of 2016.