Covenant Healthcare

Private acute hospitals

Date Invested
June 2002
Status
Realised

In 2002, Phoenix and Magdy Ishak established Covenant Healthcare which then acquired Abbey Hospitals, a group of six private acute medical hospitals. Treatment options were broadened extensively with subsequent acquisitions.

Our partnership

During the investment period, ensuring quality of care was the key priority. We provided funding for further acquisitions including Transform Medical and the Gainsborough Clinic. Covenant also generated organic revenue and EBITDA growth of two and three times respectively, whilst maintaining a focus on high quality treatment.

In April 2005, Covenant was sold to Electra Partners for £170 million, representing a 6.2x return on invested capital.