Healthscope to be divided and sold after lenders approve private-equity consortium deal

After being placed into receivership with $1.7 billion of debt, Healthscope is set to be dismantled, with its lenders approving a sale to a private-equity-led consortium. Keith Crawford, heading the receivers, said the deal secures continuity of care and protects employment for staff across the network. Under the agreement, 14 of the 25 remaining hospitals will be operated by not-for-profit Calvary Health Care, six—including Sydney’s Prince of Wales Private Hospital and Melbourne’s Knox Private Hospital—will be transferred to Healthe Care, and the remaining facilities will be taken over by private operators Acurio and KnG Group.

The transaction, backed by Pacific Equity Partners and other investors, is slated for completion by 30 November 2026. Earlier plans to turn Healthscope into a non-profit were abandoned after a standoff with landlords. The restructuring is significant for Australia’s health system, where private hospitals perform about 70 percent of elective surgeries and face mounting financial pressures.