EMC Instytut Medyczny holds talks with EQT

The Management Board of EMC Instytut Medyczny SA is negotiating with EQT VI Limited over the fund's engagement with the company.

“The healthcare market in Poland is changing dynamically. A few new investment opportunities have emerged. Therefore we consider developing faster than ever before, which will be possible through the cooperation with the Fund " -said Piotr Gerber, the President of EMC Instytut Medyczny.

“Talks concerning EQT involvement have been underway for quite some time, but it is too early to reveal details"- he added.

EMC Instytut Medyczny SA is Poland's largest owner of hospitals and clinics on the private healthcare market. Within 10 years the company has grown from a local company managing a hospital in Wroclaw into a network of medical facilities, expanding consistently throughout Polish and abroad as well. Since 2005, the company has been listed on the Warsaw Stock Exchange.

At the moment there are 8 hospitals and 16 outpatient clinics that operate within the EMC Group in Poland’s five voivodeships.

These facilities include: EuroMediCare Specialist Hospital with Outpatient Clinic in Wrocław, St. Roch’s Hospital in Ozimek near Opole, St. Anthony’s Hospital in Ząbkowice Śląskie, Mikulicz Hospital in Świebodzice, St. George’s Hospital in Kamień Pomorski, John Paul II Geriatric Hospital in Katowice, Bukowiec Hospital in Kowary, and St. Anne’s Hospital in Piaseczno.

The Group also comprises the following Outpatient Clinics: the Łowiecka Outpatient Clinic in Wrocław, Lubmed Outpatient Clinics in Lubin, Formica Outpatient Clinics in Wrocław and EMC Health Care Ltd. in Dublin.

EMC’s main medical activity involves providing specialist inpatient care in both specialized and general hospitals, outpatient care in outpatient specialist clinics and as part of primary health care system.

With bed strength of 1,000 beds altogether the hospitals that constitute the EMC network provide healthcare services to over 850 thousand residents of Dolnośląskie, Opolskie, Zachodniopomorskie, Śląskie and Mazowieckie voivodeships.

What distinguishes EMC Instytut Medyczny SA is the fact that being a private company the majority of services it offers are free of charge under contracts to the National Health Fund, which makes it an important component of the public healthcare system. Medical services that are financed by public health insurance system constitute close to 80 percent of the company's revenues, the remaining 20 percent are proceeds from healthcare services that are rendered commercially.

The consolidated revenue of the Capital Group EMC Instytut Medyczny in the first half of 2012 was PLN 80,34 million, an almost 13 percent increase versus the analogous period a year ago. Operating profit has grown tenfold amounting to PLN 4,013 million. The net profit totalled PLN 1,72 million compared with a net loss of PLN 1,5 million last year.

EQT is the leading private equity group in Northern Europe with close to EUR 18 billion in raised capital and multiple investment strategies. Together with a superior network of industrial advisors, EQT implements its business concept by financing high-quality medium-sized to large companies in Northern and Eastern Europe, Asia and the United States, developing them into leading companies.

Since inception, EQT has invested approximately EUR 10.5 billion in over 100 companies and it has successfully finalized 50 projects. EQT-owned companies have more than 500,000 employees.
EQT VI Fund, which has raised EUR 4.75 billion, is dedicated to investing in Scandinavia, Germany and Central Europe.

EQT provides capital for such sectors as healthcare and diagnostics. So far the fund has invested in Aleris, a network of hospitals in Scandinavia and medical equipment manufacturers including Atos Medical and Gambro (Sweden) and the North American Caridian BCT.