South African hospital firm Life Healthcare announced in a statement published on November 16 it will buy 95% of U.K.’s molecular and diagnostic imaging services provider Alliance Medical.

Life Healthcare revealed in the statement the deal would be sealed for R10.4bn ($727 million) in cash to acquire the British firm which presently operates in Italy and Ireland.

“In addition to investing in a growing developed market, the acquisition provides Life Healthcare an opportunity to diversify into attractive new geographies with a strong basket of currencies,” said South Africa’s third largest hospitality group adding it would secure funds for the deal from Barclays Plc and Rand Merchant Bank as a temporary loan.

Over the past years, Life Healthcare has expanded its range of activities to mental health, physical rehabilitation, renal dialysis and oncology.