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United Surgical To Be Bought By Equity Firm For $1.8 Billion


United Surgical Partners International, which runs short-stay surgery centers, has agreed to be bought out by a private equity firm for $1.8 billion, the company said yesterday.

United Surgical will be acquired by a unit of Welsh, Carson, Anderson & Stowe, the company’s founding shareholder, for $31.05 a share, a premium of 13.4 percent above its closing price on Friday.

Welsh, Carson will also assume certain debt obligations of United Surgical, whose shares rose almost 12 percent in trading yesterday. United Surgical, which is based in Dallas, has stakes in or operates 141 surgery centers in the United States.

The centers typically perform specialized outpatient procedures. Such facilities are taking patients away from general-service hospitals, which face steeper costs and generally must care for those without health insurance.

United Surgical said the transaction was likely to close in the second quarter.

Robert M. Mains, an industry analyst at Ryan Beck, said he saw United Surgical as a special case, given its longstanding relationship with Welsh, Carson; he said he did not expect other surgical companies to become buyout candidates.

Welsh, Carson, based in New York, is focused on investments in the health care services, information and business-services industries.

United Surgical said it had been advised by JPMorgan Securities and Simpson Thacher & Bartlett.

Welsh, Carson had Citigroup Corporate and Investment Banking and Lehman Brothers as advisers and Ropes & Gray as counsel.

Stock in United Surgical rose $3.19, to $30.58, a share.

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