Multinational digital health firm Babylon has accepted a take-private proposal from AlbaCore Capital on behalf of its affiliate digital-neurotherapy company MindMaze, which will transition Babylon from a publicly-traded company to a private entity.
Babylon and MindMaze, which makes game-like rehabilitation tools for neurological conditions and injuries, will form a global privately-owned business offering a value-based AI-driven care platform with the clinical, technological and operational ability to provide primary care and diagnose, manage and treat diseases.
The transaction will allow for a new capital structure to reduce pro forma company debt. It will also include funding for Babylon’s current business operations and funds for the pro forma company, Mobi Health News reports.
The company went public via an Octobwer 2021 merger with Alkuri Global Acquisition, a SPAC run by former Groupon executives. The transaction reflected an initial pro forma equity value of approximately $4.2 billion.
AlbaCore will exercise its rights under its debt agreements with Babylon, and no money will be distributed to Babylon’s Limited Class A ordinary shareholders or other equity instrument holders. The transaction will also transfer core operating subsidiaries of Babylon to MindMaze. Read more.
