Monday 21 August 2017

Rivals eye Barchester's Irish business

John Magnier has invested in nursing home group Barchester’s
John Magnier has invested in nursing home group Barchester’s
Sarah McCabe

Sarah McCabe

A number of buyers are understood to be eyeing up John Magnier-backed nursing home group Barchester's Irish business.

KPMG is thought to be advising UK nursing home group Barchester on its 117-bed Knightsbridge Village, set on 15 acres in Trim, Co Meath.

Barchester was unavailable for comment.

Alongside horse racing tycoon John Magnier, other investors in Barchester include JP McManus and Dermot Desmond. They invested in 1994, a year after the company was set up by British businessman Mike Parsons. The company is one of the top four providers of nursing home care in the UK where it has more than 11,000 beds in 200 homes.

Pre-tax profits at Barchester Healthcare Limited declined by 23.5pc to £20.7m in 2013 while revenue increased by 7pc to £495.4m.

The provision of nursing homes is a growth industry. There are around 22,000 beds currently available in Ireland. Another 8,000 will be needed every year to 2021 to meet the demands of an ageing population, experts predict. By 2050, the cost of long-term care for older people is projected to rise from 0.9pc of GDP to 1.8pc of GDP, according to the Centre for Ageing Research and Development.

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