Spire Healthcare soars as it goes up for sale

Spire Healthcare's shares surged Friday after the FTSE 250 private-hospital operator said it was exploring a range of options, including the possibility of a sale, in response to pressure from shareholders.

Spire said it is working with advisers Rothschild & Co and has held discussions with a number of parties, but it had not yet received any approaches from potential buyers. The update stressed that the process is highly preliminary and no decision has been made regarding whether any option will be pursued at this stage. The company runs 38 hospitals and more than 50 clinics across England, Scotland and Wales, and it has emphasized it remains focused on delivering its strategy and high-quality patient care. In early trading, the stock jumped more than 18%, before closing the day up 14.1%, or 31p, at 247p.

Spire chairman Sir Ian Cheshire said that in July the board had concluded the market undervalued the company given its strategic progress and property underpinning, and that the board would continue to actively evaluate and implement any appropriate action to drive long-term shareholder value. To that end, the board appointed Rothschild to assess a range of options, which could include a potential sale. Cheshire added that, while these options are being considered, the group remains focused on delivering its strategy and outstanding personalised care for patients.

Major investors this week urged the business to consider a sale. Harwood Capital Management, which owns about 5% of Spire Healthcare, argued that the current share price does not reflect the company's value, pointing to its hospital portfolio and its occupational health business. Seb Jantet, healthcare analyst at Panmure Liberum, said the day’s news isn’t a massive surprise given the share-price performance, but he cautioned that the real question is whether it will lead to anything, noting that Spire has been the subject of bid speculation for years.

Spire is among the UK's largest private healthcare operators, with a network that includes 38 hospitals and more than 50 clinics across the country. The update signals that the board is actively evaluating strategic options that could unlock value for shareholders, even as it reiterates its commitment to ongoing investment in its facilities and services. While the company has yet to receive any formal approach, investors will be watching closely for further developments as Rothschild conducts its assessment and potential bidders engage with the process.

Industry watchers note that any sale would attract significant attention from private equity firms and strategic buyers looking to strengthen UK healthcare platforms. But observers also underline that such a move would require careful navigation of regulatory and competitive considerations, as well as alignment with Spire’s long-term strategy to deliver high-quality, personalized care. For now, the board has urged patience while it completes its initial evaluation and continues to execute on its core strategy, including ongoing investments in patient services and the expansion of its clinical services portfolio.

The timeline remains uncertain, and management has stressed that no decision has been made about pursuing any option at this stage. Analysts and investors alike will await further statements from Spire and any indications about the scope of potential buyers, the price range under consideration, and whether the process will culminate in a formal sale or a combination of strategic options. In the meantime, the market reaction underscores the persistent interest in Spire as a major player in the UK private healthcare market and the likelihood that ongoing shareholder engagement will shape the company’s strategic path in the months ahead.