TPG bids $1.8b for funerals market leader InvoCare

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Using a vehicle known as “Blue Eternal”, the private equity giant snapped up 17 per cent of the owner of White Lady and Simplicity Funerals.

which operates national brands including White Lady Funerals and Simplicity Funerals, sending its shares soaring by up to 37 per cent.

The stock jumped 37 per cent in early trading on the ASX and then drifted slightly to be 35 per cent higher by 1.30 p.m. AEST at $12.06.InvoCare said there were conditions attached to the unsolicited, non-binding buyout proposal, including a request by TPG for exclusive due diligence. The InvoCare board is assessing the proposal, and cautioned there was no certainty that a transaction would proceed.seeking to buy stock at $12.65.

InvoCare also runs a string of state-based brands including Le Pine in Victoria, George Hartnett Metropolitan in Queensland, LesterThe company’son February 27 after a lacklustre full-year result as staff shortages meant it had to turn some customers away, causing it to lose market share. The shares tumbled further the following day, opening the door for TPG to pounce a few days later at a time of weakness. They were at $11.06 on February 24.

There were more deaths than average in Australia in January last year and also from June to August. InvoCare chief executive Olivier Chretien said that during those periods, the “excess” death rates were up to 20 per cent higher than the average baseline levels, in part attributed to COVID-19 effects and higher numbers of influenza cases.

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TPG bids $1.8b for funerals market leader InvoCareUsing a vehicle known as “Blue Eternal”, the private equity giant snapped up 17 per cent of the owner of White Lady and Simplicity Funerals.
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