Middle-market private equity firm Highlander Partners has sold MEDI-system to the Paris Euronext listed ORPEA, a European specialist in long-term, post-acute and psychiatric care services.
For the last four years, MEDI-system, Poland's number one private dependency care provider, was a Highlander Partners' investment. ORPEA has acquired 90 per cent of the shares of MEDI-system, with the remaining 10 per cent retained by Dr Marcin Zawadzki, the founder of MEDI-system and its CEO for many years.
MEDI-system is the Polish market leader in long-term care. Founded in 2001 by Dr Marcin Zawadzki, the company has developed a unique network of modern care facilities in the country, that covers a variety of dependency care areas, including nursing homes and post-acute care, as well as rehabilitation clinics. MEDI-system has become part of ORPEA’s European network, as it fully meets ORPEA’s acquisition criteria, including an excellent reputation for quality and innovation, large and modern facilities, urban locations, and a real estate policy based on ownership. Additionally, ORPEA appreciates that MEDI-system is a well-organized and profitable company, its revenue in 2015 reached 10 million euros.
Dr Marcin Zawadzki, Chairman and founder of MEDI-system, says: “We are very pleased with ORPEA’s commitment, which forms part of an entrepreneurial and long-term approach. ORPEA offers MEDI-system the opportunity to further quicken its growth, while also ensuring excellent standards of care for our patients and residents. ORPEA’s financial capacity and expertise, with over 25 years’ experience in the industry, mean that it is able to offer strong prospects for all MEDI-system employees.”
Prior to ORPEA's acquisition MEDI‐system was 50 per cent owned by its founder and 50 per cent by a private equity investor Highlander Partners. ORPEA has acquired 90 per cent of the company, with the founder keeping 10 per cent of share capital. By investing in MEDI-system, OPREA has gained access to an attractive, fast-growing market and the ability to replicate in Poland a business model that has proven itself in other European markets. To meet the strong demand for MEDI-system’s services, ORPEA plans to increase the number of clinics in Poland through acquisitions and greenfield projects.
Yves Le Masne, ORPEA’s Chief Executive Officer, says: “Our robust pace of international expansion continues at the start of 2016 with this acquisition of Poland’s number one nursing home operator. As in other countries, ORPEA has decided to acquire a high quality platform benefiting from a very competent and experienced management team and staff. Furthermore, unlike most of our recent acquisitions, MEDI-system’s real estate ownership strategy also offers a rare and particularly attractive opportunity for ORPEA. To implement its expansion strategy, ORPEA will provide MEDI-system with its financial capacity, know-how in the construction and redevelopment of care homes and its expertise in centralisation. Poland represents a very significant source of growth for the Group and MEDI-system is now ORPEA’s tenth development platform.”
Dawid Walendowski, Managing Partner of Highlander Partners, which has exited the investment, adds: “We are happy we could have contributed to the creation of one of the largest private medical companies in Poland and bring it into the European market.”
