Ventas and EGI Ink Deal for $475M Ardent
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Ventas’ Debra A. Cafaro
CHICAGO, NASHVILLE—Earlier this spring, Ventas Inc.said it had agreed to acquire Ardent Health Services, one of the nation’s 10 largest for-profit hospital operators, for $1.75 billion and would retain the owned real estate while spinning off its hospital operations. And the trust has just signed an agreement with Equity Group Investmentsthat gives it a majority stake in AHS’s hospital operations, now called just Ardent, with Ventas retaining a 9.9% interest, and current AHS management holding a significant ownership stake.
Ventas and EGI set Nashville-based Ardent’s value at approximately $475 million. The companies expect the deal will close in the third quarter of 2015, and Ventas and Ardent will enter into pre-agreed, long-term, triple-net leases with initial annual base rent of $105 million. Ventas officials say they expect to receive a $900 million five-year unsecured bank loan to finance a portion of its real estate investment…
