MD Medical Group Completes Acquisition of ARTMedGroup
MD Medical Group Investments Plc (“MD Medical Group”, “MDMG” or the “Company”– LSE: MDMG), a leading Russian private healthcare provider, today announces the closure of its acquisition of 100% of the shares of the ARTMedGroup (AMG) chain of reproductive technology centres, one of Russia’s five largest healthcare companies and the Siberian market leader in terms of completed IVF cycles.
The AMG chain comprises five centres in Siberia’s largest cities: Krasnoyarsk (two clinics), Omsk, Novosibirsk and Barnaul. AMG’s primary areas of focus – IVF, as well as women’s and children’s healthcare services – are fully complementary to MDMG’s core specialisms.
The value of the transaction was RUB 485 million.
Following completion of the transaction, MDMG’s chain in the Siberian Federal District has substantially expanded and as of now includes four clinics and one hospital in Novosibirsk, two clinics in Krasnoyarsk, and clinics in Omsk, Irkutsk, Barnaul and Novokuznetsk.
Mark Kurtser, Chairman of the Board of Directors of MD Medical Group, said:
“We are pleased to have acquired the acknowledged leader in the IVF segment in Siberia. ARTMedGroup has a track record of almost 20 years that speaks for itself. This acquisition opens up three new regions for us, and will help us to strengthen our presence in the Siberian Federal District.
“Our investments, including our recently completed acquisitions, are consistent steps towards implementing our strategy of regional expansion.
“We have become the largest player in the Siberian IVF market and envisage the further development of our 11 facilities in the SFO as a single block with its centre in Novosibirsk.”
ARTMedGroup
АRTMedGroup has provided reproductive medical services for 19 years. Today its network comprises five centres in Siberia’s largest cities – Krasnoyarsk, Omsk, Novosibirsk and Barnaul – with a combined population of 4.4 million people.
ARTMedGroup’s core specialisation is IVF. In addition, the company provides services in the fields of women’s and children’s health. ARTMedGroup’s clinics have a total are of 3,415 sq. m. In 2014, ARTMedGroup had revenue of RUB 395 million.
Siberian Federal Region
The Siberian Federal District (SFO) has a population of approximately 19.3 million people, of which roughly a quarter live in Krasnoyarsk, Omsk, Novosibirsk and Barnaul. The SFO has high birth rates: in 2014 there were more than 283,000 births, or 14.7 per thousand inhabitants, more than the average for Russia (13.3) and in Moscow (11.4).
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Elena Romanova MD Medical Group Investments Plc | EM |
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 29 modern healthcare facilities, including 4 hospitals and 25 outpatient clinics in Moscow, St. Petersburg, Ufa, Perm, Samara and Samara region, Irkutsk, Novosibirsk, Irkutsk, Yaroslavl, Ryazan, Novokuznetsk, Krasnoyarsk, Omsk, and 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.
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