Q&M Dental Group has announced its plan to acquire an unnamed Australian dental chain in a deal valued at AUD 145 million (SGD 137.17 million), just one week after unveiling a smaller acquisition of a local dental group.
The acquisition, revealed in a company statement on March 11, marks a significant step in Q&M’s strategy to expand its footprint across the Asia-Pacific region. This deal will provide the company with a “strategic operational base” for further expansion in Australia.
The transaction includes an initial investment of AUD 30 million into the Australian company, followed by a cash payment of AUD 59.5 million.
The deal will be completed with the issuance of new Q&M Dental shares, valued at 70 cents each. These new shares will be subject to a 15-year lock-up period, and the eight dental professionals selling the business will sign a 15-year service agreement.
The Australian company currently operates over 40 clinics across the country, employing approximately 120 dentists. As part of the agreement, the company has committed to generating a profit of AUD 105.7 million within the next seven years.
This acquisition reinforces Q&M Dental’s ongoing efforts to strengthen its position in the regional dental care market.