Pulse backs out of WA acquisitions

Sydney-based Pulse Health has backed out of plans to buy the Waikiki Private Hospital and the Westminster Day Surgery.

The acquisition was announced in December last year and would have been Pulse’s first foray into the Western Australian market.

However, in a brief statement today the company said it had terminated the agreement to purchase the two businesses “for a material adverse change affecting these businesses”.

“As a result, the acquisition of the WA assets will now not proceed,” it said.

Pulse was to spend $48.3 million on the acquisition of the two WA assets and another healthcare facility in New Zealand.

Pulse also said today it would update the market on its plans to buy the New Zealand asset in the near future.

The two Perth facilities are owned by an undisclosed local doctor.

Pulse shares closed 4 per cent lower to 24 cents each.