Add-on Acquisition • Healthcare Services

Tenet Health Acquires OrNda Health

On October 17, 1996, Tenet Health acquired healthcare services company OrNda Health from JLL Partners for 3.2B USD

Acquisition Context
  • This is Tenet Health’s 1st transaction in the Healthcare Services sector.
  • This is Tenet Health’s 2nd largest (disclosed) transaction.
  • This is Tenet Health’s 1st transaction in the United States.
  • This is Tenet Health’s 1st transaction in Tennessee.

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M&A Deal Summary

Date October 17, 1996
Target OrNda Health
Sector Healthcare Services
Buyer(s) Tenet Health
Sellers(s) JLL Partners
Deal Type Add-on Acquisition
Deal Value 3.2B USD

Target Company

OrNda Health

Nashville, Tennessee, United States
OrNda HealthCorp, formerly Republic Health, was a hospital management company operating 54 general acute care hospitals, six surgery centers, numerous outpatient and specialty clinics, one psychiatric hospital and a managed health care Medicaid plan with approximately 34,000 participants. The Company delivered a broad range of inpatient and outpatient health care services in 15 states, primarily in urban and suburban communities in the southern and western U.S.
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Buyer Overview 1

Buyer

Tenet Health

Dallas, Texas, United States

Category Company
Founded 1967
Sector Healthcare Services
Employees74,480
Revenue 20.7B USD (2024)
DESCRIPTION

Tenet Health is a provider of health care services company, through its subsidiaries operates 77 hospitals, 187 outpatient centers, and Conifer Health Solutions, a provider in business process solutions for health care providers serving more than 700 hospital and other clients nationwide. Tenet Health was founded in 1967 and is based in Dallas, Texas.


Deal Context for Buyer #
Overall 1 of 6
Sector: Healthcare Services 1 of 6
Type: Add-on Acquisition 1 of 5
State: Tennessee 1 of 2
Country: United States 1 of 6
Year: 1996 1 of 1
Size (of disclosed) 2 of 2
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2004-04-28 Centro Médico Teknon S.L.

Barcelona, Spain

Centro Médico Teknon S.L. is a private acute care hospitals.

Sell $90M

Seller Profile 1

SELLER

JLL Partners

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1988
PE ASSETS 5.8B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

JLL Partners, Inc. is a private equity investment firm that invests alongside management in middle-market companies. JLL prefers control investments in sectors such as healthcare services, medical products, food and consumer products, chemicals, broadcasting, transportation, automotive, industrial manufacturing, and distribution. In addition to traditional buyout transaction, JLL also seeks distressed/turnaround situations. JLL Partners was formed in 1988 and is based in New York City.


Deal Context for Seller #
Overall 3 of 22
Sector: Healthcare Services 1 of 4
Type: Add-on Acquisition 2 of 8
State: Tennessee 1 of 3
Country: United States 3 of 21
Year: 1996 1 of 1
Size (of disclosed) 1 of 7
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
1995-11-16 Liberty Broadcasting

Conshohocken, Pennsylvania, United States

Liberty Broadcasting, Inc. was a major radio broadcasting group that owned 19 radio stations along the fast-growing Northeast/Mid-Atlantic corridor, more than any other radio broadcaster at that time. The Company’s strategy was to acquire underperforming radio stations in the top 50 radio markets, as well as quality stations owned by financially distressed companies.

Sell $223M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
1998-01-15 Freedom Chemical Co.

Huntington Beach, California, United States

Freedom Chemical Co. was a leading global manufacturer of specialty and fine chemicals for sale to a variety of customers who used these chemicals to enhance the performance of their finished products.

Sell $375M