MD Medical Group to Buy a Clinic in Tyumen
MD Medical Group Investments Plc (“MD Medical Group”, “MDMG” or the “Company” – LSE:MDMG), a leading Russian private healthcare provider, today announces the proposed acquisition of 100% of shares in NEO-Clinic, a multi-disciplinary clinic located in the centre of Tyumen.
NEO-Clinic, which opened in 2003, will become the Group’s first facility in the Tyumen region. Its offering focuses on high-tech medical services in line with MDMG’s key service areas, including IVF, OBGYN, paediatrics and stem cell bank. NEO-Clinic also offers services including gynaecological, plastic and general surgery, otolaryngology, endocrinology, cosmetology and dermatology, which are already successfully offered at the Group's existing hospitals.
The clinic has an area of 3,602 sq m, and comprises 19 doctor’s offices, a nine-bed in-patient facility and two state-of-the-art operating rooms.
The Company expects to complete the transaction in October 2016, subject to approval by the Federal Antimonopoly Service. NEO-Clinic has an estimated value of RUB 140 mln. The acquisition will be fully funded from MDMG’s own funds.
MDMG in July 2016 signed a Memorandum of Understanding with the Tyumen region government. The company plans to start construction of a new 15,000 sq m multi-disciplinary hospital in Tyumen in 2017.
Mark Kurtser, CEO of MDMG, said:
“We are continuing to pursue our strategy focused on regional development, entering those regions of Russia which are the most attractive for our business and carefully selecting the assets where we see the highest growth potential.“NEO-Clinic is a leader in the Tyumen region – one of Russia’s highest-income regions, and which also benefits from high birth rates – and we plan to grow its business rapidly. In particular, we will adopt advanced world-class technologies, improve the level of medical services in line with the Group’s standards, and introduce our efficient management team. These measures will enable us to strengthen our presence in the region.“NEO-Clinic will be an excellent addition to our 30 medical facilities in Russia. The clinic’s services – OBGYN and paediatrics – are in line with our traditional areas of focus. The clinic also offers a number of other high-margin services, and this experience will be helpful for us in anticipation of the launch of construction of our new multidisciplinary hospital in Tyumen.”
About the Tyumen region
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About MD Medical Group
MD Medical Group operates in the highly attractive Russian private healthcare service market and has a leading position in high-quality women's health and paediatrics. The company manages 30 modern healthcare facilities, including 4 hospitals and 26 outpatient clinics in Moscow, St. Petersburg, Ufa, Perm, Samara and Samara region, Irkutsk, Novosibirsk, Irkutsk, Yaroslavl, Ryazan, Kostroma, Novokuznetsk, Krasnoyarsk, Omsk, Barnaul.
The Company’s shares have been listed on the London Stock Exchange (LSE ticker “MDMG”) in the form of Global Depositary Receipts (GDRs) since 12 October 2012.
Forward-Looking Statements:
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