The company was valued at £340m (US$686m), consisting of £280m in equity plus £60m in debt.
The banking consortium provided facilities of £165m in term loans, new development financing and a revolving working capital loan. The refinanced business is expected to be in a position to expand through acquisition.
Grove Limited, which already acquired a 25% stake in Cygnet in 2004, is also the owner of
Cygnet’s 450 managers and staff have taken an 11% stake in the business, with the remainder held by founder John Hughes, chairman Ken Wilson and Grove Limited.
Cygnet, established in 1987, operates 16 centres across the UK, with more than 600 inpatient beds for private and NHS funded patients, providing a mix of specialist psychiatric treatment, focusing on personalized service to patients with psychological, emotional and addiction problems.