Centene Corporation to sell Circle Health Group to PureHealth for $1.2bn

Centene Corporation (NYSE: CNC), a leader in the healthcare industry, has announced a definitive agreement to sell Circle Health Group, one of the UK’s largest independent hospital operators, to PureHealth, the Middle East’s largest integrated healthcare network. The deal, worth approximately $1.2 billion including debt assumed, is part of Centene’s strategy to focus on its core lines of business and value creation efforts.

Centene Refocuses Portfolio, PureHealth Expands Global Healthcare Network

“This transaction marks another milestone in our portfolio review,” said Centene CEO, Sarah London. Circle Health, known for its significant impact on patient care in the UK, operates 53 hospitals and sees two million patients annually. The organization, acquired by Centene in July 2021, will continue to provide high-quality healthcare services under PureHealth’s ownership.

Milestone in PureHealth’s Global Healthcare Ambitions

PureHealth, the largest healthcare group in the Middle East, aims to revolutionize patient care on a global scale. “This acquisition marks an important milestone in creating a global healthcare network,” said Farhan Malik, Managing Director and Group CEO of PureHealth. PureHealth’s acquisition of Circle Health will expand its contributions to healthcare systems and improve access to world-class medical services, not just in the Middle East, but globally.

Transaction Details and Closing Conditions

The sale is expected to close in the first quarter of 2024, subject to customary closing conditions including regulatory approvals. Circle Health, which has a broad footprint across every region of Great Britain, serves privately insured, self-pay, and NHS patients, and employs over 6,000 consultant specialists.

Advisors and Next Steps

Barclays is serving as the financial advisor to Centene Corporation, with Dickson Minto providing legal counsel. As both Centene and PureHealth move ahead to finalize this significant transaction, the deal is seen as a win-win for both parties—streamlining Centene’s focus on its primary healthcare services while broadening PureHealth’s global healthcare footprint.