Universal Partners, a listed investment holding company registered in Mauritius, is investing £15 million, (about $19.5 million), in Dentex Healthcare Group, a privately held dental partnership in the UK.
The deal is structured as a combination of equity and convertible debt, with £4 million securing an initial 36% stake in the company and the balance of £11 million being provided as a convertible loan subscription which has an 18-month draw down facility. Universal has the right to convert the loan notes into ordinary equity and increase its stake to 49%.
Dentex is a dental partnership operating in the UK which operates a co-ownership model that balances a focus on clinical excellence with profitability growth. The firm supports a network of dental practices, helping them generates sustainable cash flows, predominantly in the country’s growing market for private dental services. The fresh capital will be used to invest in further dental practices in the UK.
Universal Partners was incorporated and registered in Mauritius in April 2016 and its shares are listed on the Stock Exchange of Mauritius with a secondary listing on the Johannesburg Stock Exchange. According to the firm’s website, Universal looks to invest in deals ranging from £10 million to £30 million in size to take significant stake in companies with easy-to-understand business models, strong management teams and track records as well as demonstrating solid competitive advantages. The company targets opportunities predominantly in Europe, particularly the UK.