Patterson Companies to Go Private in $4.1 Billion Deal with Patient Square Capital
Following a strategic review, Patterson Companies has announced its acquisition by Patient Square Capital. The $4.1 billion deal offers a 49% premium on shares, ensuring growth investment and shareholder value.
Patterson Companies, Inc. (Nasdaq: PDCO), a leading distributor in dental and veterinary supplies, has entered into a definitive agreement to be acquired by Patient Square Capital, a healthcare-focused investment firm. The transaction values Patterson at approximately $4.1 billion, including debt refinancing, and provides shareholders $31.35 per share in cash — a 49% premium to the company’s 30-day volume-weighted average stock price.
The decision follows a strategic review initiated amid financial pressures, including a 33% drop in second-quarter profits. The acquisition, approved by Patterson’s Board of Directors, is expected to close in the fourth quarter of fiscal 2025. It will transition Patterson into a privately held entity, delisting from the NASDAQ Global Select Market.
To ensure the best outcome, the agreement includes a 40-day “go-shop” period, allowing Patterson to explore alternative offers. The deal will be financed through equity from Patient Square Equity Partners and debt led by Citi, UBS, and Wells Fargo.
Despite pandemic aftershocks and a cyberattack-related slowdown, Patterson achieved a modest revenue increase of 1.3% to $1.7 billion in the last quarter. The merger positions the company for a reinvigorated future, blending legacy expertise with Patient Square’s robust healthcare investment framework. Click here to read more.
