This has been a troubled year for aged-care provider Estia and now investment bank Macquarie Capital has been enlisted as adviser. Interestingly, Macquarie has been associated with aged-care competitors Japara Healthare and Regis Aged Care.
Estia has about 65 residential aged care facilities across Queensland, Victoria, New South Wales and South Australia. Early in the year difficulties began when share prices did not achieve predictions and some speculate that confidence was lost.
Today the share price is $2.87 AUD well over 60% down from the beginning of the year. Nonetheless there was a small upturn on Nov 1 which coincided with the announcement of Norah Barlow(then acting CEO) being appointed CEO. Former Bupa executive Paul Gregersen, here predecessor resigned from the role after only 2 years in September 2016.
Last month it was reported that Estia's board were asking for a financial review of company costs to improve margins and cut costs without affecting quality of care.
Macquarie Capital says it provides advisory and capital raising services to clients involved in mergers, acquisitions, private, debt and equity fund raising and restructuring.