Wakefield Health Ltd, operator of Wakefield Hospital in Wellington, is expanding into the Bay of Plenty, via a deal with an owner of Grace Hospital in Tauranga.Wakefield said it had agreed to acquire a controlling shareholding in Norfolk Investments Ltd,
Wakefield Health Ltd, operator of Wakefield Hospital in Wellington, is expanding into the Bay of Plenty, via a deal with an owner of Grace Hospital in Tauranga.
Wakefield said it had agreed to acquire a controlling shareholding in Norfolk Investments Ltd, and it would make a full cash takeover offer for Norfolk, valuing Norfolk at $22.55 million. The offer is subject to a number of conditions.
Norfolk holds a 60 percent interest in the Grace Hospital in Tauranga, with the balance of 40 percent held indirectly by Southern Cross Hospitals Ltd.
Wakefield said it has received commitments for more than 51 percent of the Norfolk shares, including from interests associated with Wakefield's chairman, John Calder.
"Norfolk will provide Wakefield with an expanded geographical footprint with coverage of the Bay of Plenty region," the company said.
Wakefield shares were on trading halt ahead of the announcement and the halt was lifted once it was made.
Wakefield operates Bowen Hospital in Wellington and Royston Hospital in Hawke's Bay.
