Australia’s Ramsay Health and the group led by KKR have stopped the acquisition talks

KKR & Co. trading data is seen on a screen on the floor of the New York Stock Exchange (NYSE) in New York, U.S., Aug. 23, 2018. REUTERS/Brendan McDermid/File Photo

September 26 (Reuters) – Australia’s Ramsey Healthcare (RHC.AX) and by KKR & Co (KKR.N) It will end discussions on a non-binding buyout proposal, the hospital operator said on Monday.

The KKR-led consortium first approached Ramsay in April with a bid of Rs 88 per share, but took it off the table in late August after the company reported a 39 percent drop in annual profit.

The bid was revised to allow Ramsay shareholders A$88 per share as set out in the all-cash proposal, but only for the first 5,000 shares.

For investors with large shares, the offer was paid at $78.20 per share in Ramsay and 0.22 per share in France’s Ramsay General de Sante. (GDSF.PA). Ramsey described the alternative proposal as “meaningfully low.”

He realized that getting more involvement and more diligence could provide some positive visibility, Ramsey said on Monday.

Ramsay’s fiscal 2022 results show meaningful downward pressure on valuations under the alternative proposal, the union said.

KKR did not immediately respond to Reuters’ request for comment.

Reporting by Harish Sridharan in Bengaluru; Editing by Diane Craft

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