KOS (CIR group): entry finalized of Axa Private Equity into the company’s capital


Milan, December 23 2010CIR-Compagnie Industriali Riunite SpA gives notice that the agreement between the shareholders of its subsidiary KOS announced on October 28 has today been completed following the authorization of the European Antitrust Authority. This agreement involves the entry of AXA Private Equity into the capital of KOS with a minority interest. KOS is one of the main operators in the healthcare sector in Italy.

In detail, AXA Private Equity has acquired most of the minority interests in KOS, including the entire stakes held by Morgan Stanley and Wise, for an amount of 92.5 million euro and has subscribed to a dedicated capital increase of 20 million euro. CIR too has bought shares for an amount of 5.7 million euro. Thus, as of today the shareholders of KOS are the following: CIR 56.7%, AXA Private Equity 41.1%, management and other shareholders 2.2%. The agreement establishes that over the next three years AXA Private Equity will make further dedicated capital increases, in one or more stages. The total financial commitment of AXA Private Equity in the entire deal will rise to 150 million euro with a total shareholding interest of 46.7%.

CIR, which has been involved in the development of KOS since the company was established, will hold on to all the shares it currently owns and will remain majority shareholder with a stake, once AXA Private Equity has completed all its capital injections, of just over 51%.

AXA Private Equity
AXA Private Equity is a leading private equity company with assets under management of $25 billion and an international reach extending through Europe, North America and Asia. The company offers its investors a full range of private equity services for each segment of the market: direct capital, infrastructure financing, small and mid cap buyouts, venture capital, co-investments, funds of funds and mezzanine financing.
With offices in Paris, Frankfurt, London, New York, Singapore, Milan, Zurich and Vienna, AXA Private Equity promotes the development and long-term growth of its portfolio companies, implementing strategies of sustainable expansion and giving them access to AXA’s International network. AXA Private Equity has won the confidence of its investors by regularly providing transparent figures on the performance of its funds and of its portfolio companies. www.axaprivateequity.com.

The KOS group is one of the main Italian operators in the healthcare sector. Established in 2002 by CIR, the group today operates in three business sectors: nursing homes (RSAs), rehabilitation centres and hospital management (managing a hospital and high-tech facilities in hospitals). KOS today manages 60 facilities, mainly in the centre-north of Italy with a total of over 5,600 beds in operation, plus approximately 400 more under construction.
The KOS group reported revenues of 239 million euro in the first nine months of 2010 and has approximately 4 thousand employees. KOS is part of the CIR-Compagnie Industriali Riunite group, which is also active in energy, media, automotive components and financial investments. www.kosgroup.com.

Download pdf