Luxempart, a private equity firm listed on the Luxembourg bourse, said on Thursday that it has generated a “significant” investment return by selling the bulk of its stake in Swiss diagnostic radiology firm Rimed to diagnostic services provider Unilabs.
Geneva-based Unilabs and Zug-based Rimed announced today a partnership that involves acquiring a majority-stake in Rimed. As part of this transaction, Luxempart has reduced its stake in Rimed from 27,4 percent to 5.5 percent. Referring to the internal investment return, this “has generated an IRR significantly exceeding its long-term objectives”.
Financial details were not disclosed. Luxempart’s total portfolio, held mostly on behalf of a number of wealthy Luxembourg families, amounts approximately 2.1 billion euro. Its investment tickets typically range between 25 and 100 million euro.
Investment held since 2016
When it comes to Rimed, Luxempart first partnered up in 2016 with Dr Kim B. Laver, the firm’s founder, and accompanied the management in the build-up of the group. Expanding from 13 to 18 sites and growing revenues by 63.8 percent from 2016 to 2021, Rimed has developed a broad network of radiology experts in German and Italian-speaking Switzerland.
With the acquisition of a majority stake in Rimed, Unilabs strengthens its presence in German-speaking Switzerland and Ticino, where Rimed is a leader in the radiology segment. “The partnership will allow a simplified patient care thanks to the future integration and consistency of IT solutions and the optimisation of the interdisciplinary data exchange quality,” the firm said.
“Rimed has developed into one of the leading radiology group in Switzerland and we are impressed by Rimed’s commitment to innovation for radiologists and quality service to patients,” said John Penning, managing director of Luxempart.”We are convinced that the integration of Rimed into the Unilabs family will benefit all stakeholders and we are looking forward to continue the exciting journey of Rimed within the Unilabs group”.
The former management of Rimed and Unilabs will continue to be part of the new organisation, thus guaranteeing continuity.
Private radiological diagnostics
The merger of the 18 radiology sites of RIMED in German and Italian-speaking Switzerland and the 5 radiology centres of Unilabs in French-speaking Switzerland creates a new nationwide high-performance network in the private radiological diagnostics field.
The bundling of expertise, the collaboration of highly qualified specialists, and the constant exchange with patients, referring physicians, and all service providers in the medical-diagnostic value chain create enormous potential radiology but also for the diagnostic disciplines of pathology, genetics, and biology.
“The partnership with Unilabs will complement the achievements of both companies and create an enhanced service provider with a large Swiss footprint in the German, French, and Italian-speaking regions,” said Laver. “Through synergies and a patient-oriented service approach, we will be able to provide a unique healthcare platform for patients, referring physicians, and hospitals in the future.”
Radiology services are an essential part of modern medical diagnostics. All imaging procedures, such as MR and CT, are an essential part of diagnostics and finding a treatment. Accurate, reliable diagnostics are crucial to treat cancer and other diseases. They benefit patients, doctors, service providers, and insurers alike.
In thin trading on the Luxembourg stock exchange, Luxempart shares stood at 69 euro by late morning, up from Wednesday’s close at 68.5 euro, a one-year low. A mere 114 shares had traded at that moment.