Lundbeck Buys Stake in PE-Owned Ambulance Service

The Lundbeck Foundation will pay 2.8 billion Danish crowns ($500.6 million) for a 36% stake in Danish ambulance services firm Falck, Reuters reported. The foundation, based in Copenhagen, is buying the stake from Falck’s private equity owners Nordic Capital Fund V, ATP Private Equity Partners and Folksam, Reuters said. The deal is expected to close by the end of the year.

(Reuters) – The Lundbeck Foundation has agreed to buy 36 percent of Danish ambulance services firm Falck from the company’s existing owners Nordic Capital Fund V, ATP Private Equity Partners and Folksam.

Falck in June abandoned immediate plans for a listing on the Copenhagen stock exchange. It had in April announced plans for an initial public offering — one that was expected to be among the biggest in Denmark in years.

Nordic Capital, which holds 71.9 percent of Falck, on Oct. 6 told Reuters that Falck could resume preparations to list the company in 2011 as the IPO market heats up.

Falck, Nordic Capital and Lundbeckfonden said in a joint statement on Thursday that The Lundbeck Foundation had bought the stake for 2.8 billion Danish crowns ($500.6 million) or 85 crowns per share.

“With its stake in Falck, the foundation wishes to contribute to giving Denmark a leading edge in terms of producing and exporting welfare services,” the firms said.

The Lundbeck Foundation said it planned to be a long-term strategic investor in Falck.

The transaction is expected to be closed prior to year end, they said. (Reporting by Anna Ringstrom; Editing by Mike Nesbit) ($1=5.593 Danish Crowns)