26 Jun 2012

Abano backs ambitions with cash

8:13 am on 26 June 2012

$5 billion dental market in Australasia as the demand for quality, private healthcare increases.

Abano Healthcare's top executive says the firm has ambitious plans to grow its share of the

$5 billion dental market in Australasia as the demand for quality, private healthcare increases.

Directors of the health services operator are paying $18 million for the remaining 30% of the Australian business Dental Partners that it doesn't already own.

With 53 practices and more than 450 staff, Dental Partners is one of Australia's largest dental consolidators and generates earnings of nearly $100 million for Abano.

Abano managing director Alan Clarke says after selling its New Zealand audiology businesses, the firm has focussed more on the dental market.

The acquisition will be funded through debt, with Abano increasing its banking facility from $40 million to $50 million.

Abano says it's received more than 96% acceptance on the offer.