This acquisition is a continuation of the work this business has always done, with the backing to do more of it. New Zealand Health Group will continue to operate as it does today, delivering the same quality services to the same customers.
New Zealand Health Group has announced that Fisher Funds and Direct Capital have agreed to acquire the business from its two major shareholders, the Catley Family and Quadrant Private Equity.
New Zealand Health Group is Aotearoa’s largest provider of home and community support services, along with disability support, rehabilitation, mental health and behavioural support, health staffing, workplace support, sector training, private care and medical alarms. The business has a team of more than 10,000 people nationwide.
Healthcare New Zealand, originally founded by Doug Catley in 1988, acquired Geneva Healthcare in 2017, and the two together became New Zealand Health Group in 2018.
Catley Family representative and New Zealand Health Group director Penny Coles Catley says her father recognised early on that healthcare could be provided more cost effectively, and better, at home.
He wanted to improve New Zealanders’ lives, support their independence, and deliver more services for every dollar spent on healthcare, Coles Catley says.
“The company he created through his drive and determination is, at its core, a family business with various family members having worked there at some stage. This same company now supports tens of thousands of families and will continue to do so for years to come.
“My father led with passion, integrity and mana, and cared about the people he worked with. We are so proud of what he has achieved.”
The new shareholders are experienced investors with long histories of backing New Zealand businesses.
Fisher Funds is New Zealand’s third largest KiwiSaver provider. Head of Private Equity Michael Walmsley says investments like this can have a positive impact on clients’ KiwiSaver returns.
“We have been deliberate in identifying and securing our first direct investment in New Zealand. We believe New Zealand Health Group is a high-quality organisation, with an experienced management team, proven track record and future growth opportunities.”
Direct Capital manages funds on behalf of leading New Zealand investors, including the NZ Super Fund, Accident Compensation Corporation, Government Superannuation Fund, iwi, charities and community trusts, giving its capital a genuinely local, long-term investment base, with returns ultimately flowing back to New Zealand institutions and communities.
For over 30 years, Direct Capital has partnered with New Zealand businesses to help fund and execute their growth plans.
Quadrant Private Equity played a significant role in bringing the sale together, Managing Partner Marcus Darville says.
“We’re proud to have supported a founder-led business over the past ten years. Quadrant has a track record of investing in iconic New Zealand businesses, including Summerset, AS Colour, and Kathmandu.”
Quadrant supported the acquisition of Geneva Healthcare which was founded by Josephine Gagan, who remains as a shareholder and Board Chair of New Zealand Health Group.
“Shareholders have valued their relationship with Jo who has an unrivalled knowledge of the sector. Her tenacity and strong leadership has undoubtedly contributed to the success of New Zealand Health Group”, Coles Catley says.
“We would also like to thank all Board members over the years for their stewardship and loyal service.”
Gagan says she is looking forward to working with the new shareholders, and to a period of further growth for the business.
“This acquisition is a continuation of the work this business has always done, with the backing to do more of it. New Zealand Health Group will continue to operate as it does today, delivering the same quality services to the same customers.”
The sale is subject to conditions being met and is expected to be finalised in the coming months.