Property and GP services company Assura is in talks with Virgin Group about selling its healthcare services division, according to reports.

Last month Assura confirmed it was in preliminary discussions “which may or may not lead to an offer being made for the company”.

Sources close to the situation told the Daily Telegraph that Sir Richard Branson remains keen on entering the healthcare market after previous abortive attempts, with Assura just one potential acquisition under consideration.

Assura’s share price has remained low in recent months due to market unease at its decision to branch out from property into the pharmacy and medical service market.

Although Virgin is understood only to be interested in the healthcare services division, other suitors are believed to be considering a deal to split the healthcare assets from the property.

“They said (in November) they were proposing to look for offers or partners for the GPCo business,” said John Savin, an analyst at Edison. “This might indicate a more substantial offer for the whole business leading to a break-up.”