Bridgepoint, the European private equity group, is to sell Oasis Dental Care, the UK’s leading private dental services provider, to Bupa in a transaction valuing the business at £835million.
Acquired by Bridgepoint in 2013, Oasis is the leading branded operator of scale in its market with 380 practices and over 1,800 dentists, serving both the private and public sectors in equal measure. Under Bridgepoint ownership, Oasis:
- completed 191 practice acquisitions as part of its consolidation strategy
- entered the Republic of Ireland market
- made significant investment in marketing and clinical infrastructure
- offered longer and more convenient opening hours
- introduced transparent online and practice pricing
- ran the first national dental chain TV campaign which led to a 12% rise in appointments
- tripled EBITDA during the period.
Bridgepoint partner and head of healthcare investment Jamie Wyatt said: “Oasis’ performance has been impressive. With its robust clinical platform and a commitment to quality and innovation, it has become the leading branded dental operator of scale in the UK. It will continue to lead future consolidation of the UK dentistry market as it extends its brand in the market.”
Justin Ash, Oasis CEO, said: “Our growth is accelerating and enthusiasm is building amongst dentists and customers. We now believe that as part of the Bupa family that we can really develop the business further and that we can continue to transform the UK dentistry market. Bridgepoint has been very good at asking us what our world will look like and how we can make sure we’re winning in five years’ time. It’s been a very motivating way to run a business.”
“Above all, the success of Oasis is built on the talent and commitment of our clinicians and staff and the loyalty of our 2 million customers. We will continue to focus on their need every day” he concluded.
UK dentistry is a £7bn market with underlying long-term growth driven by structural factors including favourable demographics (such as ageing and a growing population), government policy trends (as dentistry becomes a higher profile public service) and the growth in cosmetic dentistry. This is also reflected in the widening product offering from Oasis and in the strong private pay like-for-like growth in the business.
Advisers involved in the transaction included:
– for Bridgepoint: Moelis & Company and Rothschild (corporate finance), PwC (financial), Travers (legal), LEK (commercial)
– for management: Jamieson / DLA Piper (legal)
– for Bupa: Barclays (corporate finance), White & Case (legal)
The transaction is subject to regulatory approvals.
Bridgepoint is a European private equity firm. With over €20 billion of capital raised to date, it typically focuses on acquiring well managed companies in attractive sectors helping companies and management teams by investing in expansion, operational transformation or via consolidating acquisitions.
The Firm currently comprises two businesses:
1. – Bridgepoint, which concentrates on middle market companies across Europe typically valued between €200 million and €1 billion. It has offices in Europe, China and the United States in Frankfurt, Istanbul, London, Luxembourg, Madrid, New York, Paris, Shanghai and Stockholm. It is currently investing a €4 billion fund, Bridgepoint Europe V.
2. Bridgepoint Development Capital, a separate ‘lower mid-cap’ or smaller buyout and growth capital business which focuses on the acquisition of companies in the UK, France and the Nordic region, typically valued between €50 million and €150 million. In 2016 it raised a new £600 million fund, BDC III.