Canadian private equity firm Onex Corp has completed its sale of BrightSpring Health Services, a Louisville, Kentucky-based provider of home and community health services to complex, high-cost populations.
The purchase price was about US$1.32 billion, according to U.S. private equity firm KKR, which acquired BrightSpring and merged it with portfolio company PharMerica Corp.
Onex acquired a minority interest in BrightSpring in 2004. In 2010, the investor acquired a majority stake in a take-private transaction.
Onex said it received total proceeds of about US$1 billion, reflecting a blended gross multiple of invested capital of 5.7 times and a 17 percent gross rate of return.
Onex Completes Sale of BrightSpring Health Services
TORONTO, March 05, 2019 (GLOBE NEWSWIRE) — Onex Corporation (“Onex”) (TSX: ONEX) and its affiliates (the “Onex Group”) today announced they have completed the sale of BrightSpring Health Services (“BrightSpring”) to affiliates of KKR. BrightSpring is a leading provider of diversified home and community-based health services to complex, high-cost populations.
In June 2004, Onex Partners I made an initial minority investment in BrightSpring (formerly ResCare) and in November 2010, Onex Partners III invested additional capital to acquire a majority stake in a take-private transaction. In total, the Onex Group invested $204 million, of which Onex’ portion was $41 million. The Onex Group has received total proceeds of approximately $1.0 billion, including prior distributions of $218 million. Onex’ portion of the sale proceeds was approximately $190 million, including $39 million of carried interest. This results in a blended gross multiple of invested capital of 5.7 times and a 17% gross rate of return on Onex’ investment.
Onex is one of the oldest and most successful private equity firms. Through its Onex Partners and ONCAP private equity funds, Onex acquires and builds high-quality businesses in partnership with talented management teams. At Onex Credit, Onex manages and invests in leveraged loans, collateralized loan obligations and other credit securities. Onex has $31 billion of assets under management, including $6.4 billion of Onex proprietary capital, in private equity and credit securities. With offices in Toronto, New York, New Jersey and London, Onex and the team are collectively the largest investors across Onex’ platforms.
Onex’ businesses have assets of $51 billion, generate annual revenues of $32 billion and employ approximately 217,000 people worldwide. Onex shares trade on the Toronto Stock Exchange under the stock symbol ONEX. For more information on Onex, visit its website at www.onex.com. Onex’ security filings can also be accessed at www.sedar.com.
This news release may contain forward-looking statements that are based on management’s current expectations and are subject to known and unknown uncertainties and risks, which could cause actual results to differ materially from those contemplated or implied by such forward-looking statements. Onex is under no obligation to update any forward-looking statements contained herein should material facts change due to new information, future events or otherwise.
For further information:
Director, Investor Relations
Tel: +1 416.362.7711