Private equity firm Duke Street has sold its controlling investment in Baywater Healthcare UK to French firm Bastide Group.
The exit delivers a total cash return of more than 5x cost for Duke Street and its co-investor, Souter Investments, with the potential for further returns from an earnout based on future performance.
Baywater provides oxygen-therapy, sleep apnoea therapy and non-invasive ventilation therapy services to patients in the home. The business was acquired by Duke Street in November 2013 as part of Air Products’ Homecare operations in the UK and Ireland.
Duke Street sold Baywater’s Irish operations to Air Liquide in August 2015.
The business currently employs 230 people and provides support to 26,000 patients.
Charlie Troup, Managing Partner at Duke Street, said: "Baywater has been a classic Duke Street investment in healthcare, a core sector for the firm. With the dual trends of an ageing population and an increasing need for the NHS to manage costs by providing patients with care at home, we have worked successfully with management to raise the quality of care, improve logistics, invest in stronger operational and logistics capabilities, thereby delivering significant growth in profitability.”
Adam Sullivan, CEO of Baywater, added: “The four years we have spent with Duke Street and Souter have been exciting and rewarding – they have been demanding while constructive and supportive. I and my team are proud of the business we have built together - the strength of which has been recognised by Bastide.”