Image: Montserrat Day Hospital Nexus Hospitals (Nexus) has acquired Montserrat Day Hospitals (Montserrat), to create the largest short-stay hospital platform in Australia.
Following this acquisition, Nexus will operate a portfolio of 29 short-stay hospitals across Australia and continue to deliver efficient and more affordable access to non-emergency elective surgery for Australians.
The acquisition builds on QIC Infrastructure’s 2019 investment in Nexus, a leading Australian short-stay hospital platform, and actively demonstrates the execution of a sector centric, thematic-based investment strategy, of which healthcare is a core focus.
Andrew Petering, CEO of Nexus, said Montserrat provides an important expansion to their national platform of high-quality surgical facilities delivering exceptional care for patients in a boutique and efficient setting.
“Both groups offer important benefits to each other in sharing best practice initiatives and procurement synergies,” Mr Petering said.
“Montserrat’s strong patient focus aligns well with Nexus’ core values. We look forward to the scale and depth that the combined businesses will provide for our patients and the overall Australian healthcare system through the ongoing delivery of affordable healthcare services with excellent clinical outcomes and patient experiences,” he said.
QIC’s Head of Global Infrastructure, Mr Ross Israel said the acquisition of Montserrat aligns with several megatrends driving robust growth in demand for healthcare services globally, including aging populations, increasing healthcare spend and focus on quality of life.
“These megatrends in healthcare have driven strong historic volume increases in short stay hospital together with ongoing technological and clinical developments which will enable more procedures to be safely performed in these settings. In addition, short stay hospitals are more affordable and efficient for patients and payors, and a viable solution to the growing elective surgery backlogs across the broader Australian public healthcare system,” he said.
QIC has observed a 3.8 per cent p.a. growth in total surgical procedures performed in private hospital short-stay settings in Australia since 2011. Through QIC’s active asset management approach they continue, with Nexus management, to see organic and bolt on opportunities to grow its business.
“We believe this will further position Nexus at the forefront of structural change in the industry and to deliver more affordable, high quality healthcare outcomes to Australians,” Mr Israel said.
More information
Nexus is a diversified portfolio of 18 hospitals across Australia, with significant organic and inorganic growth opportunities. It is underpinned by strong relationships with over 500 surgeons and key private health insurers. It comprises a highly credentialed management team, with a proven ability to execute on growth strategies and strong industry relationships.
Montserrat Day Hospitals is a diversified portfolio of eight hospitals and three haematology and oncology clinics located in Queensland, New South Wales and Western Australia. In addition to its metropolitan facilities, Montserrat provides accessible care to patients in regional areas including Albany and Bunbury. Montserrat has approximately 200 surgeons who utilise its facilities, along with all major private health insurers.
QIC is a trusted investment manager and adviser providing risk adjusted returns for the clients we serve. As one of the nation’s leading institutional investment managers, we deliver alternative real asset solutions across infrastructure, real estate, private debt, private capital, natural capital in addition to a liquid market offering for our 125 Australian and global clients. We also act as the Queensland Government’s independent investment advisor, managing a fully-funded Defined Benefit scheme and the Queensland Future Fund both of which delivers on the State’s long-term investment objectives. We have A$98.7bn (US$67.9bn) in assets under management (as at 30 June 2022) and are headquartered in Brisbane, Australia, with offices in Sydney, Melbourne, New York, San Francisco and London.
QIC is a long-term infrastructure investor with an established global platform, an active management approach and a proven, 16-year track record. With a global team of more than 70 professionals across five offices, QIC Infrastructure manages in excess of A$29.3bn (US$18.8bn) 1 2 across 23 global direct investments and has realised in excess of A$14.5bn (US$9.3bn) 1 2 back to its clients. Its sector-centric and thematic-based investment strategy deconstructs risk across sector value chains identifying relative value for investment across market cycles. This drives a targeted origination approach, enabling the firm to build diversified portfolios for its clients.
1As at 30 September 2022
2 US$ realisation calculated using the AUD/USD FX Rate as at 30 September 20222 US$ realisation calculated using the AUD/USD FX Rate as at 30 September 2022
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