MDC - MEDICLINIC INTERNATIONAL LIMITED - Acquisition of Clinique La Colline
June 25, 2014
Acquisition of Clinique La Colline
Mediclinic International Limited (Incorporated in the Republic of South Africa) (Registration number 1983/010725/06) JSE share code: MDC ISIN: ZAE000074142 ("Mediclinic" or "the Company")
ACQUISITION OF CLINIQUE LA COLLINE
Shareholders are referred to the announcement released on SENS on 11 June 2014 in which the Company set out its intentions to raise equity capital to fund various acquisitions and investment opportunities, one of which is an acute care multi-disciplinary hospital in Switzerland.
Mediclinic is pleased to announce that all conditions precedent to the transaction have been fulfilled and subsequently its Swiss business, Hirslanden, has acquired a 100% interest in the operating business of Clinique La Colline ("La Colline") in Geneva, Switzerland (hereinafter referred to as "the Transaction").
Overview of La Colline and transaction rationale
La Colline is a multi-disciplinary medical and surgical private hospital with 95 beds (including inpatient, outpatient and specialty beds) and six operating theatres equipped for general, endoscopic, and navigation-assisted surgery.
La Colline has a significant market share in orthopaedic treatments performed in Geneva. Other treatments offered at La Colline include internal medicine, visceral surgery, neurology, ophthalmology, general surgery, urology, plastic surgery, and gynaecology.
The Transaction significantly strengthens Hirslanden's position in Western Switzerland, through providing a footprint in Geneva, and is in line with the Company's strategy to increase capacity in attractive markets with strong fundamentals.
Purchase consideration
The total enterprise value paid for La Colline will be c.CHF130m representing a LTM EV/EBITDA multiple of 8.7x. The Transaction is earnings per share accretive to the Company immediately.
Stellenbosch 25 June 2014
Mediclinic Offices, Strand Road, Stellenbosch 7600, South Africa PO Box 456, Stellenbosch 7599, South Africa Tel: +27 (0)21 809 6500 Fax: +27 (0)21 886 4037 Ethics Line: 0800 005 316 Website: www.mediclinic.com
Financial adviser and sponsor Rand Merchant Bank (A division of FirstRand Bank Limited)
Date: 25/06/2014 12:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.