Medical Properties Trust (MPT) has announced it will acquire Capella Healthcare for $900 million in cash.
MPT is a Birmingham, Ala.-based self-advised real estate investment trust. Capella is one of the largest for-profit hospital companies in the U.S. Based in Franklin, Tenn., Capella owns and/or operates seven hospitals across five states in three U.S. regions. These facilities have 1,169 beds and occupy 2.0 million square feet.
Capella is presently owned by funds affiliated with GTCR, a Chicago-based private equity firm. Capella has partnered with GTCR since its founding in 2005.
The $900 million total value of the transactions will be comprised of a $600 million investment allocated to Capella’s real estate interests and a $300 million investment allocated to Capella’s operating entities, which is expected to be jointly owned by MPT and Capella management.
The transaction is expected to be finalized during the second half of 2015.