By Emea Riga
MedLife, the leader of the private medical services market in Romania, announces the signing of the acquisition of the 100% stake of the Polisano medical services division, one of the largest private medical operators in Romania.
Established in the 1990s, Polisano is the first fully integrated medical group in Romania. It includes a series of four clinics with its own laboratories located in Bucharest and Sibiu, a private hospital - the Polisano European Hospital in Sibiu - recognized as one of the most modern and performing hospital units in Romania, an in vitro fertilization center and the bigger private maternity in Transylvania.
In about 25 years of activity, Polisano has served approximately 2.1 million patients concentrated on both the retail and the corporate segment. The company now has over 500 employees and registered a turnover of about 80 million lei in the year 2016.
According to the company's representatives, this acquisition of MedLife continues to consolidate the market, as well as the mandate given by the shareholders at the last AGM meeting, where it approved the increase of the share capital and the issuance of bonds for acquisitions and the development of the company.
"For us, Polisano is becoming an important strategic partnership and also proof of our long-term commitment to expanding health care services for the benefit of patients in all regions of the country. We have a special respect for the quality of medical services and the operational functioning of Polisano. These are the values that bring us together and we are confident that Polisano will further strengthen our position as a national leader in high performance medical services, "said Mihai Marcu, MedLife General Manager.
"Over the years, Polisano has been renowned nationwide for the quality of its services, medical equipment, but also for solving some of the most complex medical cases at a private level. Joining the MedLife Group brings added value and will also help us sustain our commitment to continuously deliver premium services and an outstanding medical team to all patients, both in the retail and corporate sectors " , said Dr Ovidiu Gligor, Administrator of the Polisano Clinic and Hospital.
The transaction is to be analyzed by the Competition Council. Once approved, it may become the most important healthcare transaction this year and an important step in meeting our commitment to investors who have trusted the company's strategy and its implementation capability.
"If all the conditions are fulfilled and the acquisition of Polisano Clinics will be completed, MedLife will reach a number of 6,300 employees and will be the employer of approximately 5% of doctors with a Free Practice Authorization in Romania and probably a relevant percentage of medical assistants. We believe that both the Ministry of Health and CNAS should consult with the private environment on public health policies and, before any legislative changes, provide us with more predictability on their evolution. We need to find together the necessary levers to motivate these professionals to stay in the country and to provide medical services to the highest level of their employees, "Mihai Marcu said.
MedLife made its first acquisition in 2011 by buying the majority stake in PDR Brasov. In the seven years, the company has successfully completed 16 acquisitions, being probably the medical operator with the largest expertise to buy and integrate a group or medical firms. The last announced acquisition was the Humanitas Hospital in Cluj.
The MedLife consultants in the Polisano transaction were TaxHouse on tax consultancy and Dima & Associates on legal advice. The consultants of the seller in the transaction were PWC on the transaction consultancy side and David & Baias on the legal consultancy side.
MedLife is the largest provider of private health services in Romania. The company operates the largest clinic network, one of the major medical laboratories, general and specialized hospitals, and has the largest customer base for Health Prevention Packages in the country. It is also from the point of view of sales, one of the major private health companies in Central Europe
Shares issued by MedLife SA are admitted to trading on the regulated spot market administered by the Bucharest Stock Exchange, Premium Category, with the trading symbol "M".
The MedLife Group has a successful track record in both organic growth and growth through acquisitions. Since 2009, it has opened or purchased over 83 medical units. Its strong and experienced management team has been able to create and manage these growth opportunities, gaining valuable insights and experience that will enable it to find the best way for continued successful expansion.