News: VRT UPDATE 1-Virtus Health shuns BGH Capital for CapVest's sweetened $484 mln bid

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March 1 (Reuters) - Australia's Virtus Health Ltd (VRT) said on Tuesday it would not engage with private equity firm BGH Capital after rival bidder CapVest Partners lobbed a sweetened buyout proposal that valued the healthcare firm at A$667.2 million ($484 million).

CapVest's new offer https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02493958-2A1360304?access_token=83ff96335c2d45a094df02a206a39ff4 of A$7.80 per share topped BGH's sweetened bid of A$7.65 per share made on Monday https://www.virtushealth.com.au/sites/vh/files/2022-02/070-VRT%20ASX%20announcement%20re%20BGH%20revised%20proposal.pdf. Earlier, CapVest had offered https://www.virtushealth.com.au/sites/vh/files/2022-01/064-VRT-ASX-Virtus%20announces%20proposal%20from%20CapVest%20and%20grants%20exclusive%20due%20diligence%2020%20Jan%202022.pdf A$7.60 per Virtus Health share.

Virtus Health has been the subject of a bidding war between Melbourne-based BGH Capital and London-based CapVest since last month, as both private equity firms are vying to control the in vitro fertilization service provider which has seen its share price rise about 60% since the pandemic.

CapVest's new offer represents a premium of 4.7% to Virtus Health's last close and includes an option of alternative structure, such as an off-market bid, at a lower price which would require approval from minimum 50.1% Virtus shareholders.

CapVest has completed a "substantial level" of due diligence and expects to be in a position to enter an implementation deed by March 11, Virtus Health said. ($1 = 1.3774 Australian dollars) (([email protected]; Twitter: https://twitter.com/sameer_manekar))