The Adecco Group announces divestment of Soliant Health in US
The Adecco Group has entered into a definitive agreement to sell its US healthcare staffing business, Soliant Health, for a cash consideration of USD 612 million (EUR 551 million), to Olympus Partners.
The sale is part of the Adecco Group’s strategy to concentrate on globally scalable brands and digital solutions.
Alain Dehaze, CEO of the Adecco Group, said, “We regularly review our portfolio of businesses to confirm that we are the best owner and to ensure an optimal capital allocation. Soliant is an excellent business but with limited scope to expand outside of the US market, which has unique healthcare market dynamics. In line with the Group strategy to focus on globally scalable brands and digital solutions, this divestment is an attractive way to unlock value for our shareholders. I would like to thank David Alexander and his team for their strong performance leading Soliant within the Adecco Group, and wish them continued success.”
David Alexander, head of Soliant Health, commented, “Soliant is a strong business that has thrived inside of the Adecco Group and we are pleased to have reached an agreement that we believe will unlock value for both the Group, and Soliant. As we look to this next chapter in our story we see strong potential for growth as a standalone company by building on our unique strengths. We are committed to business continuity through this transition period, and to the continued success of our valued customers, healthcare professionals and employees.”
In the 12 months ending 30 June 2019, Soliant generated revenues of USD 344 million (EUR 302 million) and EBITDA of approximately USD 54 million (EUR 47 million). The divestment is expected to result in a gain on sale for the Adecco Group to be recognised upon closing.
J.P. Morgan Securities LLC acted as exclusive financial advisor to the Adecco Group on the transaction.
The transaction is subject to customary closing conditions and is expected to be completed by Q1 2020.
The Group will provide an update on the use of proceeds with the Q4 2019 results in February 2020, in-line with its capital allocation policy.