Business & Finance
Medicover completes EUR70.5m acquisition of Neomedic
13 May 2019 -

Medicover AB (STO:MCOVB), a healthcare and diagnostic services company, reported on Friday the completion of the acquisition of Neomedic, a leading neonatology and obstetrics hospital group in southern Poland.

Neomedic operates three hospitals with surrounding outpatient and primary care clinics. Also, Neomedic operates ambulatory centres focused on obstetrics. Neomedic was acquired for EUR70.5m and it had reported revenues of EUR27.1m in 2018.

According to the company, Neomedic's profitability will contribute positively and the transaction value implies a high single digit EBITDA multiple, including synergies, which are expected to be realised within 12 months.

Reportedly, this acquisition will be funded with current committed debt facilities and is expected to be accretive in 2019.The acquisition will be consolidated from mid-May 2019.

Medicover operates a large number of ambulatory clinics, hospitals, specialty-care facilities and laboratories and the largest markets are Poland and Germany.