Corporate health and wellbeing solutions provider, Optima Health, has agreed a deal to acquire PAM Healthcare for £100m.

The transaction is on a debt-free, cash-free, normalised working capital basis, subject to customary adjustments.

Optima Health said the move, which remains conditional on clearance being obtained from the Irish Foreign Direct Investment regime, cements builds its existing presence in Ireland, as well as across the rest of the UK.

In previous statements, Optima has revealed it is targeting £200m revenue and £40m in adjusted earnings in the medium-term, and the AIM listed group said that the latest acquisition is a “transformational step forward” in achieving this.

The £100m will be financed partly through new committed secured debt facilities of £70m with existing banking partners, HSBC and Barclays, and partly through an unsecured short-term related party bridge facility of £30m with Deacon Street Partners.

Optima Health CEO, Jonathan Thomas, commented: “This transformational acquisition underscores our intent in delivering our stated strategic objectives and cements Optima's position in its attractive and growing market.

“The acquisition of PAM is highly complementary and synergistic for Optima and has been a high priority target for a number of years. With our strong track record for delivering bolt on acquisitions and our excellent market dynamics, the board and I are very confident about our future growth trajectory.”

---