Wed Sep 18 03:18:03 UTC 2024: ## ASX Healthcare Stock Ramsay Health Care in the Spotlight as Takeover Rumours Resurface

**Sydney, Australia** – Rumours of a potential takeover bid for ASX 200 healthcare stock Ramsay Health Care Ltd (ASX: RHC) are heating up, with private equity giant Kohlberg Kravis Roberts (KKR) reportedly considering a fresh attempt to acquire the company.

KKR previously made a bid in 2023 to buy Ramsay, Australia’s largest private hospital operator, for $88 per share, valuing the company at $20 billion. However, the deal fell through. With Ramsay’s share price now trading at less than half that value, having slumped over 23% this year to $40.37, KKR might see this as an attractive entry point.

Adding to the speculation, Ramsay’s substantial real estate portfolio, valued at over $4 billion, which includes around 70 hospitals and day surgery units, is considered a valuable asset.

While KKR is the main name circulating in the takeover rumours, Wesfarmers Ltd (ASX: WES) is also reportedly in the mix.

Ramsay’s recent FY24 results, showing a 9% increase in total revenue but a 40 basis point decrease in pre-tax earnings, leading to a 2% slump in net profit, have further fuelled the speculation. Despite the dip, management declared a final dividend of 40 cents per share, fully franked.

Some analysts believe Ramsay is undervalued at its current price, with Shaw and Partners arguing the ASX 200 healthcare stock has been well managed and expecting an improvement in FY25.

While the takeover rumours are gaining traction, no official offer or deal has been confirmed. Investors are closely watching this ASX 200 healthcare stock, waiting for a response from either KKR or Ramsay.

The Motley Fool Australia, an investment advice provider, advises investors to remain cautious and wait for official confirmation before making any investment decisions based on the current rumours.

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