Paxon acted as commercial and financial adviser to St John of God Health Care for its successful bid for the Design, Build and Operate PPP for the $400 million, 400 bed Midland Health Campus in WA.

As part of the advice to the bidder, Paxon was engaged to deliver a subcontracted facilities management arrangement. The project also contained a medical equipment services (MES) element that the successful bidder was subcontracting to a provider.

Paxon’s role included pricing development, assessment of the likely market depth for the services, development of collaborative arrangements with subcontractors including MES providers, assistance with tender development and assessment, funding and financing structuring, negotiation, business case development assistance, financial modelling, synergy assessment of collocation of services and merger, Procurement Options Analysis and advice as to the likely commercial framework and structure for the preferred arrangement.

SJOGHC Client

2010 - 2013 Year

Perth, WA Location

$400 million Project Value

Financial and Commercial Adviser Roles

Key Outcomes

As the adviser to the successful bidder, Paxon obtained insight as to the likely perception of private sector organisations into the risk allocations of Government.

The project provides lessons as to how a private operator assesses the value and commercial principles within a tender response, and how accepting the Australian market is of internationally accepted MES principles.