Patient Square Capital acquires Patterson Cos. for $4.1B
Illustration: Aïda Amer/Axios
Patient Square Capital is taking dental and animal health products distributor Patterson Companies (Nasdaq: PDCO) private for $4.1 billion.
Why it matters: The news comes on the heels of Walgreens eyeing a PE-led buyout, proving take-private deals are roaring to close out the year.
Zoom in: Patient Square will pay $31.35 per share, representing a premium of 35.7% to the stock's last close. Shares were trading at $31 before the bell and jumped about 34% in pre-market trading.
- Patient Square declined to comment to Axios on its plans for Patterson.
How it works: Patterson's dental unit partners with 65 practices to provide more than 130,000 products and equipment, as well as software, technology and services.
- Its animal health unit has provided more than 80 vets with 144,000 products, equipment and other services. The company also has a supply and logistics division.
Catch up quick: Just six days ago, Patterson said it was weighing strategic alternatives that "may include, but are not limited to, a sale, merger, strategic business combination or other transaction," after cutting its annual profit forecast.
- Shares were down more than 18% this year through Tuesday, with the hack at Change Healthcare having ripple effects on health care players all over the country.
Flashback: Patterson was established in 1877 as a dental company and has been publicly traded since 1992.
