Marcu family, which sold 29% in MedLife health services operator, will invest in the following years to complete the hotel it owns in Bulgaria and to re-launch a luxury project in the Danube Delta.
“The hotel in Bulgaria has to be finalised, but we’re also considering the housing project (in the Danube Delta, which was suspended i.e.). We’re not going to start right away, though,” said Mihai Marcu, MedLife’s chairman of the board.
MedLife owners acquired a hotel in Bulgaria for around 70,000 dollars in 2007 and finalising it takes over 500,000 euros. They are also considering the possibility of resuming a luxury project worth 3-4m euros in the Danube Delta, which was put on hold this year because of the too low demand. Plans include 39 houses and a club.
Marcu family also owns NauticLife boat business and its investment list includes a showroom in Tulcea and “very likely” one in Constanta, as well. SGAM Eastern Europe, the private equity fund part of Société Générale Asset Management, took over 36.25% in MedLife stock in a deal worth above 20m euros. After signing the deal, Mihail Marcu, MedLife chairman, states his ambition for the following period is for the clinic network to dominate the corporate segment.
“We strongly believe in this business and the fact that we’re still the majority shareholder is also a guarantee for MedLife investors. We’re considering the possibility that after a time interval of 3-5 years all shareholders should exit,” said Mihail Marcu, who, together with his mother, Mihaela Cristescu, and his brother Nicolae Marcu, holds 51% in the firm.
The sale of the 36.25% stake in MedLife is the biggest deal in the field of medical services, valuing the company at around 60m euros. Shareholders received bigger offers, but “conditions and the partner mattered more than the price”.
MedLife’s plan is to “highly aggressively” tackle the corporate segment so that it may reach market share of above 50% in a year and a half, from 20-30% now.
As part of this plan, MedLife will invest in 4 large clinics, 3 in Bucharest and one in Cluj. These new clinics taking investments of above 0.5m euros each will bring the operator another 2,000 new clients per day, so that the firm will reach 4,500 clients daily.
At present, MedLife operates four large clinics, five labs and 28 medical centres. In the first nine months of 2009 the firm generated turnover worth 79m RON (19m euros), up 44% from a year ago. For the entire year, the company projects 26m euro turnover.