Pihlajalinna Oyj Stock Exchange release 9 December 2015, 9.30 EET
Pihlajalinna acquires Koskiklinikka
According to the agreement signed today Pihlajalinna Oyj's subsidiary company Pihlajalinna Terveys Oy has agreed to acquire all shares of Tampereen Lääkärikeskus Oy (Koskiklinikka) from current private owners and Diacor terveyspalvelut Oy. Included in the agreement is also Koskiklinikka clinic's 50 % share of the imaging service company Röntgentutka Oy. The net debt-free value of the acquisition target is 21.2 million euros. The transaction price will be paid fully in cash when the acquisition is completed. The agreement is expected to come into force by the end of the year 2015. The current personnel of Koskiklinikka will continue in the service of Pihlajalinna Group. Koskiklinikka branch clinics will become part of Pihlajalinna's Dextra chain.
The acquisition strengthens Pihlajalinna's growth to the leading social and healthcare company in Finland according to its strategy. Koskiklinikka is the largest and most well-known private healthcare service provider in Tampere that offers comprehensive general and specialist practitioner services, laboratory and diagnostic services as well as occupational healthcare and private hospital services. The company has 150 healthcare professional and other staff as well as 250 practitioners. In 2014 Koskiklinikka's net sales were 15.4 million euros (total sales apprx. 28 million euros) and operating profit 1.7 million euros. Röntgentutka Oy:'s net sales were 4.6 million euros (total sales apprx.6 million euros) and operating profit 1.12 million euros. Koskiklinikka has a large private clinic and hospital in Tampere and four smaller private clinics in Tampere, Pirkkala and Jyväskylä.
Pihlajalinna CEO Mikko Wirén: It is an incredibly great moment in my career when two strong Finnish companies in the Tampere region combine their forces. Koskiklinikka has almost 50 years of operations as a very highly valued company which is known for its high quality services and talented and committed personnel. With this acquisition we will grow together to be the largest social and healthcare company by far in Tampere region and the acquisition will also bring significant growth on a national level to our Private clinics and Specialist care segment revenue. The modern facilities and Koskiklinikka hospital's doctor and surgery capacity will be available for the whole group in the future and will form a good foundation of growth for the Dextra chain.
Tampereen Lääkärikeskus Oy Chairman of the Board Marjatta Pekola-Kiviniemi: Koskiklinikka has operated successfully for almost 50 years. Domestic Pihlajalinna Group will offer an excellent opportunity for the high quality development of Koskiklinikka's operations also in the future. I'm very happy that this acquisition will guarantee Koskiklinikka clinic's high quality healthcare services availability in the region. The synergies between the personnel, facilities and equipment combined with the high quality will manifest to the customers as even better cost efficiency and treatment effectiveness.
Pihlajalinna is evaluating the possibility for an equity offering to finance both these and possible other acquisitions and to support the growth strategy of the Company, and has retained Carnegie Investment Bank AB and Danske Bank A/S, Helsinki Branch to assist in the evaluation. The proposal of the Board authorization to decide on the equity offering will be handled in the Pihlajalinna Extraordinary General Meeting on December 14 2015.
Further information:
Mikko Wirén, CEO, Pihlajalinna Oyj, +358 50 322 0927
Marjatta Pekola-Kiviniemi, Chairman of the Board, Tampereen Lääkärikeskus Oy, + 358 40 561 9618
Terhi Kivinen, SVP, Communications, Marketing and IR, Pihlajalinna Oyj, +358 40 848 4001, terhi.kivinen@pihlajalinna.fi
Distribution
Nasdaq OMX Helsinki
Key media
investors.pihlajalinna-konserni.fi
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