FRANKLIN, TN — September 1, 2015. Capella Healthcare, Inc. (“Capella”), a privately-owned premier provider of health care services and one of the largest for-profit hospital companies in the U.S., today announced that its parent company and sole stockholder, Capella Holdings, Inc., has completed a transaction with Medical Properties Trust, Inc. (“MPT”) (NYSE:MPW) that includes the acquisition of Capella’s properties and a minority ownership in operations for $900 million in cash.
Capella was previously owned by funds affiliated with GTCR, a leading private equity firm.
“This is an unprecedented collaboration that benefits all of our stakeholders, our patients and communities first and foremost,” said Michael A. Wiechart, President and CEO of Capella. “The funding being provided through our partnering with Medical Properties Trust, Inc. enables us to take care to the next level as we build upon our legacy of service to our existing community hospitals. Equally vital, it fuels our long-term growth plans allowing us to serve additional communities during this time of unique opportunity for the healthcare industry.”
MPT has significant expertise in healthcare real estate, efficient access to capital markets and, most importantly, a company culture that is compatible with Capella’s mission, vision and values, said Wiechart. “Combined with Capella’s outstanding expertise in operating hospitals, MPT’s long-term investment and commitment will be invaluable in helping us achieve our primary goals of patient care excellence and partnering with new communities.”
“We are delighted to have earned the confidence of Capella Healthcare as it further expands its footprint across the country,” said Edward K. Aldag, Jr., MPT’s Chairman, President and Chief Executive. “MPT’s highly successful investment of real estate capital in the hospital business has allowed us to carve a unique niche in the largest and fastest-growing segment of the U.S. economy as we continue to focus exclusively on providing capital to licensed hospitals of all kinds.”
Capella is a privately-held company which, upon its founding in 2005, partnered with GTCR. GTCR’s equity investments and commitment to Capella have allowed the company to grow steadily over the last ten years.
About Medical Properties Trust, Inc.
Medical Properties Trust, Inc. is a Birmingham, Alabama based self-advised real estate investment trust (REIT) formed to capitalize on the changing trends in healthcare delivery by acquiring and developing net-leased healthcare facilities. MPT, with assets approaching $5.5 billion, is the only REIT whose investment focus is solely on licensed hospitals. MPT’s financing model allows hospitals to unlock the value of their underlying real estate in order to fund facility improvements, technology upgrades, staff additions and new construction. Facilities include acute care hospitals, inpatient rehabilitation hospitals, long-term acute care hospitals, and other medical and surgical facilities. For more information, please visit the company’s website at www.medicalpropertiestrust.com.
Founded in 1980, GTCR is a leading private equity firm focused on investing in growth companies in the Financial Services & Technology, Healthcare, Technology, Media & Telecommunications and Growth Business Services industries. The Chicago-based firm pioneered The Leaders Strategy™ – finding and partnering with management leaders in core domains to identify, acquire and build market-leading companies through transformational acquisitions and organic growth. Since its inception, GTCR has invested more than $10 billion in over 200 companies. For more information, please visit www.gtcr.com.
About Capella Healthcare, Inc.
Capella Healthcare partners with communities to build strong local healthcare systems that are known for quality patient care. Based in Franklin, Tennessee, Capella operates acute care and specialty hospital facilities in six states. With the philosophy that all healthcare is local, Capella collaborates with each hospital’s medical staff, board and community leadership to take care to the next level. A private company, Capella has access to significant leadership and financial resources, investing 100% of its net cash flow in its family of hospitals to strengthen and expand services and facilities. For more information, visit the website at www.CapellaHealthcare.com.
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