Oasis Helthcare Plc, the dentistry chain that owns and operates over 130 dental practices throughout England and Wales, providing a combination of NHS and private dental care, has accepted an offer from private equity company Duke Street Capital for £77m.

The offer, which consist of of 82 pence in cash for each Oasis share and values the business at approximately £76.9m, is a premium of 74.4% over 47 pence, the closing price prior to the commencement of the offer period. 

However, the company's largest shareholders, ADP Helthcare Acquisitions Ltd, are also considering making a rival bid.

Private equity interest in dentistry companies is thought to reflect a desire to consolidate the highly fragmented sector. Corporate dentistry groups liike Oasis currently make up just 5 per cent of the market. Duke Street's managing partner, Peter Taylor, said: "The UK dental market is undergoing a period of significant change and Oasis has the opportunity to capitalise on this and become the clear market leader.

"We believe that Oasis will be able to benefit fully from these opportunities in a private environment and with the support of an investor that has a strong track record of investing in its portfolio companies."