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 (“EPS”) 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)