CMU discussing a takeover as NATO’s medical service provider

Avamedica, a family business operating under this name since 2004, supplies medical services to the Kogalniceanu NATO base, according to a statement for Business Standard by Daniela Diculescu David, one of the clinic’s owners. She said that she is involved in negotiations to sell the business, with the value of the transaction “four times higher than turnover and some ten times higher than EBITDA,” which would make the deal worth some €2 mln, one of the highest figures for the acquisition of a single clinic registered on the market to date.

Diculescu added that turnover in 2007 was €480,000, and earnings before interest, taxes, depreciation and amortization (EBITDA) at some €230,000. The transaction is expected to be finalized by the end of the year, and rebranding would take 2-3 years.

Contacted by Business Standard, representatives of CMU did not wish to comment.

Avamedica has four units in Constanta: a laboratory, a unit specializing in maritime and labor medicine, one for physiotherapy and administration, and one for family medicine.

Unirea Medical Center had a turnover in 2007 of €8 mln, 10 percent higher than originally forecast, and 40 percent higher year-on-year.

Some 80 percent of CMU’s revenue comes from corporate services. The number of subscribers in February 2008 exceeded 50,000, not including persons for whom the company provides labor medical services. The British 3i investment fund acquired a 49 percent share of CMU at the beginning of 2007.