MD Medical Group to Buy ARTMedGroup Healthcare Chain
MD Medical Group Investments Plc (“MD Medical Group”, “MDMG” or the “Company” – LSE: MDMG), Russia’s leading provider of private women’s and children’s healthcare, today announces the proposed acquisition of 100% shares in ARTMedGroup (AMG), a chain of reproductive technology centres, one of Russia’s top 5 largest healthcare companies and the leader in Siberia in terms of IVF cycles completed.
ARTMedGroup has been active on the reproductive medicine market for 19 years. Currently, its chain comprises four centres in Siberia’s largest cities – Krasnoyarsk, Omsk, Novosibirsk and Barnaul - with a total population of 4.3 million or nearly a quarter of the Siberian Federal District’s total population. The District has a high birth rate – more than 283,000 children were born in 2014, and its birth rate of 14.7 per 1,000 residents exceeds the average for Russia (13.3) and Moscow (11.4).*
ARTMedGroup’s medical centres specialise mainly in IVF, but the company also offers medical services in the field of women’s and children’s healthcare. The total clinics’ premises cover a total area of 3,415 sq m.
In 2014, ARTMedGroup’s revenue amounted to RUB 395 mln.
The Company expects to close the deal in January 2016, subject to approval by the Federal Antimonopoly Service of the Russian Federation. MDMG will acquire the shares for a consideration of RUB 485 mln.
Mark Kurtser, Chairman of the Board of Directors of MD Medical Group, said:
“By acquiring ARTMedGroup’s chain of centres for reproductive medicine, we will enter several new markets boasting attractive demographics, and will further reinforce our lead in the IVF sector in Russia and the Siberian Federal District in particular.
“ARTMedGroup’s highly skilled team has long-standing experience, a solid track-record on the Russian market, and a sound understanding of regional nuances. These factors, combined with our high quality standards, will be the core forces driving the continued successful development of the centres under the control of MD Medical Group.”
*Jan-Dec 2014, Rosstat.
For further information please contact:
| Investors | Media
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| Elena Romanova MD Medical Group Investments Plc | EM
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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 23 modern healthcare facilities, including 4 hospitals and 19 outpatient clinics in Moscow, St. Petersburg, Ufa, Perm, Samara and Samara region, Novosibirsk, Irkutsk, Yaroslavl and Ryazan.
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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