Key Takeaways
- • ING has underwritten a $250 million debt raising for Affinity Equity Partners-owned Lumus Imaging, according to sources with knowledge of the transaction who were not authorised to speak on the record.
- • The debt deal is structured to give Affinity a cashout equal to about 20 per cent of its initial equity investment in Lumus Imaging.
- • Affinity acquired Lumus Imaging from ASX-listed Healius for a record $965 million roughly 18 months before the debt raising.
- • Proceeds are also earmarked to fund Lumus Imaging's next phase of growth.
Summary
Pan-Asian private equity firm Affinity Equity Partners is set to receive an early return on its investment in Lumus Imaging, the diagnostic imaging business it carved out of ASX-listed Healius. According to the Australian Financial Review's Street Talk column, Dutch bank ING has underwritten a $250 million debt raising that will return roughly 20 per cent of Affinity's initial equity cheque to the firm.
The debt financing will also fund the group's next phase of growth, according to sources with knowledge of the transaction who were not authorised to speak on the record. The report does not disclose the terms of the debt, such as its pricing or maturity.
Affinity's acquisition of Lumus Imaging from Healius was valued at a record $965 million and was completed about 18 months before the current transaction. The speed of the cashout underscores the sponsor's willingness to pursue early liquidity through leveraged recapitalisations in Australian healthcare assets.
The debt financing will also fund the group's next phase of growth, according to sources with knowledge of the transaction who were not authorised to speak on the record. The report does not disclose the terms of the debt, such as its pricing or maturity.
Affinity's acquisition of Lumus Imaging from Healius was valued at a record $965 million and was completed about 18 months before the current transaction. The speed of the cashout underscores the sponsor's willingness to pursue early liquidity through leveraged recapitalisations in Australian healthcare assets.
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