News Article
Candesic is delighted to have provided support to Welltower on its acquisition of HC-One
US-based real estate investment trust Welltower has spent £6.4bn to acquire UK senior care homes operated by HC-One, and a real estate portfolio from Barchester Healthcare. Candesic is delighted to have advised Welltower on its acquisition of HC-One, looking at the competitiveness of the portfolio.
The Candesic team was led by Senior Partner Michelle Tempest, and Senior Engagement Managers Dr Kristoffer Kenttä and Jack Zeng.
The acquisition of the real estate portfolio of Barchester-operated facilities in the UK amounts to £5.2bn of the total spent, with the HC-One portfolio amounting to £1.2bn.
Welltower funded a portion of the purchase price through the repayment of a £660 million loan it originated at the height of the COVID-19 pandemic and Brexit uncertainty.
Shankh Mitra, Welltower’s CEO, said: “We are excited to expand our presence in the UK and continue to partner with the highest quality operators as evidenced by the Care Quality Commission in the UK (CQC) having rated 86% of our communities as good or outstanding, well above the national average of 72%, with none of our properties having been rated as inadequate.”
Beyond the realisation of value from Welltower’s participating senior credit note to HC-One, additional loan repayments, and cash on hand, Welltower expects to fund the remaining acquisition consideration through the sale of outpatient medical assets.
