mynth
06/2017

DOMUSVI

Acquired by

ICG & MANAGEMENT & PRIVATE INVESTORS

FRANCE Health Providers / Healthcare Facilities / Nursing Homes EV 1b - 4b EUR

Context

ICG and founder Yves Journel have entered into exclusive negotiations to acquire the majority stake in DomusVi from PAI Partners. The transaction follows a preemptive bid by ICG that successfully bypassed a formal auction process involving major international investors and sovereign funds. This deal marks a significant change in scale for the group, which was valued at less than €650 million in 2014. The acquisition is structured to maintain the existing high-yield bond financing, as the continued presence of ICG and the founder in the capital prevents the activation of change-of-control repayment clauses. The strategic rationale centers on pursuing the international expansion of the group, particularly in markets like Spain, where the recent integration of SARquavitae has already propelled the company to a leadership position. The partnership intends to bridge the gap with major competitors such as Orpea and Korian-Medica by leveraging DomusVi's strong expertise in specialized care and home services.

DOMUSVI, which reported an EBITDA margin of LOGIN in 2017, is valued in this transaction at an EV/EBITDA multiple of LOGIN, representing a LOGIN to the average currently observed in the Healthcare & Pharma sector (13.4x).

Note that this data is based on contribution from our growing community, composed of M&A and Private Equity professionals, and has been verified by our team to ensure its accuracy.

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Target

DomusVi stands as a leading international provider of high-quality elderly care and specialized services. The group operates an extensive cross-border network across Europe and Latin America, encompassing medicalized nursing homes, mental health facilities, and home care agencies. The entity actively executes a targeted buy-and-build strategy aimed at securing and strengthening its premier position within its domestic market. DomusVi’s value proposition is built upon a multi-disciplinary approach to dependency and senior care, seamlessly integrating medicalized residential care, specialized disability centers, and home assistance solutions to deliver a comprehensive support ecosystem for seniors and their families.

Ent. Value

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Multiples

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EV / EBITDA

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EV / EBIT

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Historical Financials (EUR)

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2017
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2016
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Other operations with DOMUSVI

DateAcquirerTargetCountrySectorDeal Context
DOMUSVIFRANCEHealth Providers

DomusVi completed a major capital reorganization, described as a "jumbo-LBO". This transaction allowed founder Yves Journel to increase his ownership from 30% to 49%, while ICG remains a key controlling partner. The group's management team also participated in the round, investing approximately €50 million for a 2% stake. The deal was financed through a robust structure including €1.6 billion in portable senior debt (representing 6.3x EBITDA) and a €400 million PIK (Payment-in-Kind) line provided by ICG. The strategic rationale is to fund a "European conquest" phase, aiming to double the group's revenue to €3.4 billion by 2025. This growth will be driven by massive external acquisitions in Germany, Italy, Belgium, and Portugal, further consolidating DomusVi's position as a dominant European healthcare provider.

RESIDALYAFRANCEHealth Providers

DomusVi entered into exclusive negotiations to acquire 100% of the capital of Residalya, in a move designed to significantly densify its territorial coverage within France. The transaction allowed DomusVi to absorb 35 additional facilities and roughly 2,630 beds, bringing its total capacity to over 17,000 beds and narrowing the gap with its primary market competitors. This strategic build-up was motivated by the need to reach a critical industrial scale, merging Residalya’s localized expertise and specialized assets—including the ownership of twelve of its residences—into DomusVi’s global operational platform.

SARQUAVITAESPAINHealth Providers

DomusVi has successfully acquired its Spanish competitor SARquavitae, previously held by a consortium of investment funds including Palamon Capital Partners and G Square Capital. This transformative build-up operation allows the group to become the number one player in the Spanish elderly care market. The strategic rationale centers on geographic diversification, as the target’s strong footprint in Catalonia and Madrid perfectly complements the acquirer’s existing position in Galicia. The integration adds 88 facilities and 11,000 beds to the group’s portfolio, bringing total pro forma revenues to approximately €1.2 billion. This acquisition marks a significant milestone in the group’s international expansion strategy, following the previous year’s integration of another Spanish operator, thereby solidifying its leadership position in Southern Europe.

DOMUSVIFRANCEHealth Providers

PAI Partners has entered into exclusive negotiations to take control of DomusVi, the third largest French player in the private nursing home sector. Upon completion of the transaction, PAI is expected to hold 70% of the capital alongside an associated fund. The remaining shareholding structure will include DV Holding (controlled by founder Yves Journel) at 25% and the group's management at 5%. This operation facilitates the full exit of the other founding shareholder, Jean,François Gobertier, thereby resolving a long,standing governance conflict between the two founders. The strategic rationale for the deal centers on the consolidation of a market where private actors are gaining share as the state's capacity to maintain market share diminishes. PAI Partners plans to optimize the existing facilities and reduce costs while funding an aggressive acquisition strategy. Several hundred million euros are planned over the next five years for targeted acquisitions, specifically aiming to strengthen the group's presence in Germany and Spain and to continue its development in China. This step is intended to simplify the company’s governance and transform it into an international champion in the management of elderly dependency.

REFERENCES

Valuation range: EV 1b - 4b EUR

Revenue range: 750M - 1.3b EUR

EBITDA range: 100M - 200M EUR

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Authors: mynth contributor (mynth data is contributed by M&A / PE professionals and systematically cross-verified with private deal documents and official press releases).

Acquirer: icg