KKR acquiring Envision Healthcare for $9.9B — 7 insights

KKR will acquire Nashville, Tenn.-based Envision Healthcare for about $9.9 billion, or $46 per share.

Here's what you should know:

1. The acquisition was unanimously approved by Envision's board of directors. After low third-quarter 2017 earnings, Envision began an internal review to "enhance shareholder value." Envision's board said a company sale was being considered. Agreeing to be acquired by KKR is the culmination of that review.

2. Through the last seven months, the board examined a stream of options, including capital structure alternatives, potential acquisitions, portfolio optimization, a potential sale and continued operation as a standalone business.

3. Envision's board reached out to 25 separate buyers through the process.

4. According to a release, "The Board determined that the KKR proposal presented the best opportunity to maximize value for shareholders."

5. The transaction is expected to close in the fourth quarter of 2018. Envision will be seeking shareholder approval at its 2018 annual meeting, which will be held no later than Oct. 1 . If the transaction is successful, Envision will become a privately owned company.

6. Envision President, CEO and Director Christopher Holden said, "Envision's leadership team — including both the board and management — have been singularly focused on driving value for our shareholders and have taken decisive action in furtherance of that goal, including the implementation of a comprehensive operational improvement plan and a robust review of strategic alternatives. Today's announcement reflects the extensive efforts by our team to explore all opportunities to deliver value for our shareholders."

7. Envision closed June 8 trading at $43.64.

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