AMP Capital, on behalf of investors in its global infrastructure equity strategy, has agreed, alongside management, to acquire 100 per cent of The Regard Group from Montreux Healthcare Fund PLC and Macquarie Principal Finance.
The Regard Group (“Regard”), founded in 1994, is the fourth-largest specialist care provider in the UK. The group provides a range of services to those with Learning Disabilities and Mental Health needs including residential care, supported living, outreach support services and day resource centres.
Regard currently has 161 services and 1,186 beds across the UK, with a focus on England and Wales. Regard provides high quality care, with approximately 93 per cent of its sites rated either ‘Good’ or ‘Outstanding’ in inspections by the Care Quality Commission in 2017.
Julie-Anne Mizzi, Global Head of Infrastructure Health at AMP Capital, said: “Regard is an excellent investment for AMP Capital’s global infrastructure strategy. It has a strong existing management team, offers stable cashflows, and has industry-leading occupancy levels. In addition, the freehold ownership of its properties mean they can be tailored to meet local needs, which can support the UK Government’s objective of providing quality care closer to home. The strong focus on quality of care at Regard was a critical factor for us given the important social role it plays in the community, and we are committed to continuing to deliver a high standard of care.
“Current demographic trends in developed markets mean that the need for investment in social infrastructure and healthcare is growing. Our team’s expertise and experience in this sector and established track record of responsible investment, demonstrated by our market-leading ESG performance, make us well-placed to manage and develop an asset of this significance in the UK care sector.”
Sandie Foxall-Smith, Chief Executive of Regard, said: “We could not be more delighted with our incoming partners. Their philosophy and ethos mirrors all the Regard values, and their commitment to staff, quality and growth is incredibly exciting. Carole Edmond, Managing Director of Regard, and I are delighted with this new chapter in Regard’s future.”
AMP Capital has a strong heritage of social infrastructure investment and ownership in Australia and New Zealand and also owns two Primary Care Centres in Ireland. In August 2017, AMP Capital hired Ruben Bhagobati, Principal, from Goldman Sachs where he was a Managing Director and head of the bank’s healthcare business in South East Asia and Australia, to bolster its presence in the European healthcare sector.
This article has been prepared to provide general information and does not constitute 'financial advice' for the purposes of the Financial Advisors Act 2008 (Act). An individual investor should, before making any investment decisions, consider the information available in the relevant Product Disclosure Statement and seek professional advice. While every care has been taken in the preparation of this document, AMP Capital Investors (New Zealand) Limited and the AMP Group (together, 'AMP') make no guarantee that the information supplied is accurate, complete or timely and do not make any warranties or representations in respect of results gained from its use. The information is not intended to infer that current or past returns are indicative of future returns. The views expressed are those of the author and do not necessarily reflect those of AMP. These views are subject to change depending on market conditions and other factors.