Healthscope Ltd (ASX: HSO) shares are up 3% with the company confirming it is going ahead with the takeover with Brookfield.

Healthscope is Australia’s second largest private hospital operator and has been the focus of a bidding war between Brookfield and a consortium of BGH & AustralianSuper.

Why Healthscope shares are up 3%

This morning, the healthcare company announced it is entered into a ‘scheme of arrangement’ with Brookfield as well as a simultaneous off-market takeover offer.

Under the scheme of arrangement, Healthscope shareholders will be entitled to a total value of $2.50 per share, including a 3.5 cents per share interim dividend.

Healthscope Chairman Paula Dwyer said: “Having fully considered a range of alternatives, the Board unanimously concluded that the Brookfield Transaction is in the best interests of our shareholders.”

Healthscope also gave a trading update showing that in the first half of FY19 revenue increased by 3% to $1.22 billion and operating EBITDA grew by 7.7% to $198.1 million (click here to learn what EBITDA means).

Should you buy Healthscope shares?

Healthscope shares are now trading at around $2.45, so there appears to be very limited upside for today’s buyers unless the BGH – AustralianSuper consortium offers a higher bid.

Investors like Luke Cummings from Harvest Lane Asset Management might be interest in the difference in share price, but brokerage costs alone may make the difference to $2.50 too little to consider.

If you have Healthscope shares to sell, it could be a good idea to consider using the proceeds to re-invest in the growth shares in the free report below.

NEW SMALL CAPS INVESTING REPORT!

After searching through a market with over 2,000 shares, our lead expert investment analyst has narrowed it down to just 2 of his favourite rapid-growth shares in a FREE report to Rask Media readers.

Over the past five years, these two shares have gone from being 'tiny caps' to being serious contenders for the ASX 300.

Idea #1 is taking on the world with an online marketplace capable of generating serious free cash flow. This company's addressable opportunity is multiples of its current valuation.

Idea #2 is a technology business with super-sticky revenue and mission critical software. With operations around the globe, this growth stock has many years of potential.

Access the free report by clicking here now. Absolutely no credit card or payment details required.



Disclaimer: Any information contained in this article is limited to general financial/investment advice only. The information has not taken into account your specific needs, goals or objectives, so please consider consulting a licenced and trusted adviser before acting on the information. Please read The Rask Group’s Financial Services Guide (FSG) for more information. This article is authorised by Owen Raszkiewicz of The Rask Group, which is a corporate authorised representative No. 1264179 of Strawman Pty Ltd (ACN: 610 908 211) (AFSL: 501 223).