Australia's Sonic Healthcare to buy U.S.-based Aurora Diagnostics for $540 million

(Reuters) - Australian pathology and radiology group Sonic Healthcare Ltd SHL.AX said on Wednesday it had agreed to buy Florida-based Aurora Diagnostics LLC ADI.UL for $540 million.

The acquisition of Aurora is expected to be about three percent EPS accretive post-placement on a pro-forma FY2019 basis before expected revenue and cost synergies, Sonic said in a statement.

The acquisition, Sonic said, would help it “substantially grow” its operations in the United States.

Sonic also announced a fully underwritten institutional placement to raise A$600 million ($431.88 million) and a non-underwritten share purchase plan to retail shareholders in Australia and New Zealand to raise up to A$100 million.

The company reaffirmed guidance it announced in November which excludes the impact of the acquisition. It noted that its U.S. business is tracking ahead of expectations on an year-to-date basis.

Earlier this year, Australian hospital operator Healthscope Ltd HSO.AX said it would sell its Asian pathology business to private equity giant TPG Capital Management LP TPG.UL to cut debt and bankroll growth plans, months after rejecting two buyout approaches.

Reporting by Aby Jose Koilparambil in Bengaluru; editing by Andrew Roche