Triton and KKR sell Mehilainen to CV Capital partners

Triton and KKR sell Mehilainen to CV Capital partners

Funds advised by Triton (“Triton”) and KKR have announced the sale of Mehilainen, a provider of private health care and social services in Finland, to CVC Capital Partners for an undisclosed amount. The sale is subject to regulatory approval.

Triton and KKR acquired Mehilainen in March 2010 as joint investors on a 50-50 basis. Varma and Ilmarinen, mutual pension insurance companies, have been minority shareholders since 2015 and LähiTapiola, a mutual life insurance company, since 2016. Since the acquisition, Triton and KKR have supported the continued growth of the company through investments in new products and services, which have further strengthened Mehilainen’s position as a leading player in health and social care. In February 2015, Mehiläinen merged with Mediverkko, further strengthening the Group’s position in primary care, social care and dental care.

Mehilainen has successfully acquired and integrated more than 50 providers under Triton and KKR’s ownership, resulting in an extensive national service network with over 360 units and 14,000 professionals in health care and social care, and making Mehilainen one of the biggest domestic employers in Finland. The key improvement initiatives executed during Triton and KKR’s ownership have focused on patient care and experience, improving and extending the service provision offered in Finland.

“We would like to thank the management team, the employees, the Chairman, the Board, and all other stakeholders for their contributions to Mehiläinen’s development. Since the acquisition in 2010, we have supported Mehiläinen to become a customer-focused and quality-driven health care and social service provider. We have experienced first-hand the dedication to care, service and quality that the employees and the leadership stand for and deliver. Triton together with KKR has been the owner of Mehilainen for more than eight years and we view this as an appropriate time for a new owner to continue the development of Mehiläinen,” says Peder Prahl, Director of the General Partner to the Triton fund.

Anders Borg, Managing Director and Head of Nordics at KKR, and Hans Arstad, Principal at KKR, said: “We are proud to have worked alongside Triton and the outstanding management team at Mehiläinen over the last eight years, to create a national champion which is contributing greatly to health and social care provision in Finland. The company is strongly positioned for future growth, drawing on the expertise and dedication of its employees to benefit all sections of Finnish society, and we wish Mehiläinen every continued success.”

Janne-Olli Järvenpää, CEO of Mehilainen, said: “I am very excited to continue the strong partnership with LocalTapiola, Varma and Ilmarinen, and welcoming CVC as a new partner. With the new partnership group, I am excited about the future of Mehiläinen where our key focus will be to continue investing in our network and to provide best-in-class healthcare and social care services for the benefit of our customers, building on the many years of successful cooperation and the strong working relationship with KKR and Triton. I believe being a private domestic non-listed company gives us flexibility and agility to respond to the rapid transformation in the healthcare industry driven by digitalisation, increasing customer requirements, intensifying competition and regulatory uncertainty.”

KKR’s investment was made through its European Private Equity Fund III.