Hanger, Inc. (NYSE: HNGR), a company that provides proesthetics & orthotics care solutions, announced via press release that it will go private in a $1.25 billion deal with Patient Square Capital.
According to the release, existing Hanger shareholders will receive $18.75 per share in cash, a 29% premium to the average monthly price in July.
“I’m very pleased to be announcing this agreement today as the transaction will result in immediate and substantial value creation for our stockholders. This transaction represents a culmination of an extensive review by our Board of Directors of strategic alternatives to provide value to our stockholders and to offer financial flexibility for our company to pursue future growth initiatives,” said Hanger President and CEO Vinit Asar.
Patient Square, according to the press release, is a “patient-centered investment firm” whose CEO said he has been following Hanger for years, and “genuinely respect[s] the positive impacts they have on their patients and customers.”
The deal will be funded by Patient Square and debt financing from Ares Capital Management. It will close in the fourth quarter of 2022.
Five top law firms have advised on the deal. Foley & Lardner advised Hanger, while Patient Square employed the services of Greenberg Traurig, Kirkland & Ellis, and Latham & Watkins in M&A, financing, and healthcare counsel respectively. Proskauer Rose is assisting Ares Capital.