Bridgepoint and AlpInvest bought Médica for euro 330 million($421 million) in December 2003 from Icade, the property arm of theFrench state investment group Caisse des Dépôts. It is now one ofthe major players in the highly fragmented French and Italianmarkets and offers temporary and permanent accommodation in itsnursing homes and assisted-living facilities as well as itsconvalescent and rehabilitation centers and psychiatric clinics. InFrance, it is one of three leading players that, between them, hold40% of the market. The others are Orpea SA and Suren-Medidep.Bridgepoint had planned to take the company public earlier thisyear but launched the auction at the same time and opted for thesale when the stock market weakened. The Médica deal values thecompany at euro 750 million ($960 million).

"There is huge expansion in the market in France," according toBC Partners' Paris-based spokesman. "BC Partners want to growMédica both organically and by acquisition."

UK buyout specialists HgCapital sold Castlebeck Care Holdings, aprovider of residential care for the learning disabled, for euro324 millio ($414.3 million) to private equity firm Lydian CapitalAdvisors. Based in Darlington, UK, Castlebeck provides specialtyhealthcare and rehabilitation services for adults and adolescentswith learning disabilities and challenging behavior. It hasinvested nearly euro 43.22 million ($55.21 million) in new hospitalfacilities across the UK since it was acquired by HgCapital in asecondary buyout from 3i Group plc in July 2002. It now operates 17hospital and care homes across England and Scotland, providingservices in many cases to government-funded patients in need oflong-term care.