Bain Capital, KKR to Sell 50M More Shares of HCA

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Bain Capital Partners and Kohlberg Kravis Roberts & Co., two of the major investors of Nashville, Tenn.-based Hospital Corporation of America, said they will sell roughly 50 million shares of common HCA stock in a secondary offering.

This is the second time in two months the two private equity firms are selling massive amounts of HCA stock. In December, Bain Capital and KKR sold 32 million shares.

The offering is expected to close on Feb. 15. Bain Capital and KKR will receive all proceeds from the offering, which is expected to net them more than $1.8 billion based on HCA's most recent trading price of $36.15 per share.

In 2006, Bain Capital, KKR, Merrill Lynch and family members of HCA co-founder Tommy Frist Jr., MD, completed a leveraged buyout of HCA for roughly $32 billion, a record at the time. Bain Capital and KKR made news in September after other shareholders of HCA, the largest for-profit hospital chain in the country, filed a lawsuit against the two and other private equity firms alleging bid-rigging as the company was going public.

More Articles on HCA:

For-Profit Hospital Stock Report: Week of Feb. 4-8, 2013
HCA North Texas Plans Two Facility Expansions Totaling $180M
HCA's 4Q Profit Down, But 2012 Income Tops $1.6B

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