ADIA to join Medline buyout group, may invest $1 bn

 ADIA to join Medline buyout group, may invest $1 bn

An aerial view of the Medline headquarters in the US. Photo credit: Medline

The Abu Dhabi Investment Authority (ADIA) could invest up to $1 billion and join a multi-billion-dollar leveraged buyout deal to acquire US-based Medline Industries Inc, according to a media report.

ADIA will back the takeover of Medline by a consortium led by Blackstone Group, Carlyle Group and Hellman & Friedman, Bloomberg reported, citing people familiar with the matter.

Bloomberg also said that ADIA, the sovereign wealth of the Gulf emirate, confirmed the investment.

The Blackstone-led consortium has edged out Canadian alternative investment firm Brookfield Asset Management Inc to acquire Medline.

The deal, which values Medline at $30 billion, is also being backed by the Singaporean sovereign wealth fund GIC.

ADIA is one of the biggest sovereign wealth funds in the world with assets under management in excess of $700 billion.

Medline is one of the biggest suppliers and distributors of medical supplies like gloves, medical examination tables and gowns.

In 2020, ADIA backed a $19 billion buyout of a Thyssenkrupp unit by private equity firms Advent International and Cinven. It was also a part of a consortium that acquired Nestle’s $10 billion skincare business in 2019.

This is ADIA’s second healthcare deal in in the last two months. In May, it acquired a minority stake in Dedalus Holding from private equity firm Ardian.

The Capital Quest