Travers Smith has advised certain members of the management team of Partnerships in Care, one of the UK's largest independent providers of inpatient behavioural healthcare services, in relation to the proposed sale of a portfolio of 22 hospitals by its ultimate parent company Acadia Healthcare Company, Inc. (“Acadia”) to funds managed by BC Partners.
The management team will run the new portfolio of hospitals, which consists of 21 existing hospitals and 1 “de novo” unopened hospital divested from both Partnerships in Care and Priory Group in accordance with the regulatory requirements of the Competition and Markets Authority (the “CMA”) following Acadia’s acquisition of Priory Group earlier this year. The deal remains subject to CMA approval.
Partnerships in Care was sold to Acadia in 2014 by private equity firm Cinven and certain management shareholders (management being advised by Travers Smith). Earlier this year, Acadia purchased Priory Group, another leading provider of behavioural healthcare clinics in the UK. The CMA intervened in the Priory Group acquisition and required Acadia to divest a certain number of its UK healthcare hospitals by the end of November in order to avoid a full, phase 2 competition inquiry.
The Travers Smith team was led by corporate partner Adam Orr with support from associates Jeremy Dennison, Katie McGarry and James Sherlock. Specialist tax advice was provided by senior counsel Hannah Manning. Employment advice was provided by associate Ailie Murray.
Acadia was advised by Freshfields and BC Partners was advised by Dickson Minto.