HCA Healthcare (2006 LBO)

exited

Healthcare — KKR / Bain Capital / Merrill Lynch

Deal Terms

Entry Year2006

Entry EV$33B

Entry Multiple12x

Leverage6.5x

Debt Amount$22B

Outcome

Exit Year2011

Risk Metrics

LTV (est.)67%

Debt / EV0.67x

Notes

$33B — LARGEST LBO IN HISTORY at the time. $22B debt. Frist family retained 4.4%. IPO'd March 2011 at $15.5B. Bain turned $64M into $1.2B. KKR and sponsors made $10B+ combined profit. PE's greatest mega-deal success, but hospital workers faced years of cost-cutting and understaffing under PE ownership.

Sponsor

KKR & Co.$638B AUM