Fresenius continues reducing complexity and optimizing utilization in the production network of its Operating Company Fresenius Kabi in line with its Vision 2026 and #FutureFresenius: Today, Fresenius Kabi and EMS have signed an agreement to transfer the ownership of Fresenius Kabi's production site in Anápolis, Brazil, to EMS. The multinational pharmaceutical company has a strong presence in Latin America and will take over the generic injectables production plant, the development center, and the warehouse as well as full staff and will continue production.
The transaction is subject to customary closing conditions, including merger approval.
Fresenius entered an agreement with Worldwide Hospital Group (WWH) to fully divest Vamed’s international project business (Health Tech Engineering, HTE). In May 2024, Fresenius originally announced a gradual wind-down of the HTE project business, largely to be completed by 2026, as part of Fresenius’ structured exit from its Investment Company Vamed. The divestment will now accelerate the exit and enable Fresenius to further increase focus and management capacity on the ongoing progress of its core businesses Fresenius Kabi and Fresenius Helios, in line with #FutureFresenius. For the employees of Vamed’s international project business, the transaction offers the perspective of the continuation of the business.
Worldwide Hospitals Group (WWH), a healthcare company based in Germany, specializes in delivering flexible modular hospital solutions—both at sea and on land. Vamed's international project business will complement and enhance WWH's core business.
Closing is expected mid of 2025 and subject to the fulfilment of certain closing conditions.
This release contains forward-looking statements that are subject to various risks and uncertainties. Future results could differ materially from those described in these forward-looking statements due to certain factors, e.g. changes in business, economic and competitive conditions, regulatory reforms, results of clinical trials, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, the availability of financing and unforeseen impacts of international conflicts. Fresenius does not undertake any responsibility to update the forward-looking statements in this release
The healthcare group Fresenius has achieved a further milestone in the implementation of #FutureFresenius with the successful completion of the divestment of Vamed’s rehabilitation business to the international private equity firm PAI Partners. Fresenius retains a minority stake of 30 percent in the business. The transaction, which was announced in May 2024, has received all necessary regulatory approvals and the closing conditions have been met.
The rehabilitation business which also includes specialized healthcare services in the areas of prevention, acute care and nursing, was Vamed's largest business unit. With approximately 13,000 employees, it provides inpatient and outpatient rehabilitation services to approximately 100,000 patients every year in various European countries.
Fresenius continues streamlining the production network of its Operating Company Fresenius Kabi in line with its Vision 2026 and #FutureFresenius: Today, Fresenius Kabi transferred the ownership of its subsidiary Laboratorio Sanderson S.A., Chile, to Medifarma, a multinational pharmaceutical company from Peru with a strong presence in Latin America. This divestment includes the IV Laboratorio Sanderson plant in Santiago de Chile. Medifarma will continue the manufacturing of the existing portfolio of products in Chile. Fresenius Kabi remains committed to the Chilean as well as South American markets and will continue its presence accordingly. This is another step to reduce complexity and optimize utilization in Fresenius Kabi’s global manufacturing network.
- Vamed’s operations in Austria to be sold to an Austrian consortium of construction companies, Porr and Strabag.
- Vamed’s hospital services unit to be transferred to the Fresenius Group.
- Vamed's international project business to gradually be scaled back in an orderly manner. Current project contracts are to be fulfilled.
- The exit from Vamed, including the announced divestment of the rehabilitation business, is a further milestone on the path to #FutureFresenius and completes the strategic portfolio restructuring.
- Fresenius has significantly reduced its complexity and underlined its position as a leading therapy-focused company.
Following the announcement of the sale of Vamed’s rehabilitation business, the global healthcare group Fresenius has initiated a structured exit from its Investment Company Vamed. An Austrian consortium of construction companies Porr and Strabag has agreed to acquire Vamed’s activities in its Austrian home market for a total purchase price of 90 million Euros. The transaction includes Vamed’s entities responsible for the technical management of the Vienna General Hospital (AKH Wien), the Austrian project business that is part of Vamed’s Health Tech Engineering segment and shares in several spas throughout Austria. The planned transaction is subject to regulatory approvals and customary conditions.
Vamed’s High-End Services (HES) business unit, which provides services for Fresenius Helios and other hospitals, will be transferred to Fresenius. HES generates around half of its revenue through its provision of services to Helios hospitals. It offers facility and medical technology management for a total of more than 840 hospitals. HES is a stable business with good growth prospects and accounts for around 30% of Vamed's revenue. The profitability of HES is in the mid-single-digit percentage range.
The Health Tech Engineering segment, which is responsible for the international project business and accounts for around 15% of Vamed's revenue, will gradually be scaled back in an orderly manner. The process should largely be completed by 2026. Until then, the business will be reported as a special item outside Fresenius' core business. Current project contracts will be fulfilled.
The divestments lead to non-cash special items of around € 0.6 billion. Due to the exit from the project business, higher three-digit-million special items are expected, which are spread over the next few years and mostly cash relevant.
As of Q2 2024, Vamed will no longer be a reporting segment of Fresenius. In addition to reducing complexity, this step will improve the Group's profitability by more than 50 basis points. It will also reduce net debt and increase the Group's return on invested capital (ROIC). Last but not least, the transparency and quality of earnings will be significantly enhanced.
“We have found a holistic and viable solution for the Vamed businesses, creating good prospects for the future. It is the best outcome for patients, for Vamed, and for Fresenius. With the exit from Vamed, our strategic portfolio restructuring has been completed as planned. Fresenius is already a simpler, stronger, and more innovative company due to the consistent implementation of #FutureFresenius. We now have even more opportunities to provide world-class therapies and improve people’s health,” said Fresenius CEO Michael Sen.
Dr. Michael Moser, the member of the Fresenius Management Board among others responsible for the Vamed business, added: “We are pleased that Vamed’s High-End Services business is joining Fresenius. We have found a very good solution for both the rehabilitation business with PAI and the Austrian project business with the Austrian owners Porr and Strabag. This enables us to create long-term growth opportunities. We are now looking for fair solutions for the employees affected by the gradual ramp-down of our project business outside of Austria.”
After exiting Vamed, Fresenius will consist of the two Operating Companies Fresenius Kabi and Fresenius Helios (each with 100% ownership share) and the Investment Company Fresenius Medical Care (32% ownership share).
This release contains forward-looking statements that are subject to various risks and uncertainties. Future results could differ materially from those described in these forward-looking statements due to certain factors, e.g. changes in business, economic and competitive conditions, regulatory reforms, results of clinical trials, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, the availability of financing and unforeseen impacts of international conflicts.
Fresenius does not undertake any responsibility to update the forward-looking statements in this release.
- PAI Partners ("PAI") to acquire controlling majority of 67 percent, Fresenius to retain 33 percent to participate in future upsides
- Fresenius continues to drive its portfolio optimization – further momentum in #FutureFresenius
- Sharpened focus on Operating Companies Fresenius Helios and Fresenius Kabi to drive growth
- Closing expected in the second half of the year
The global healthcare group Fresenius is continuing to drive its portfolio optimization. The company has reached an agreement with PAI for the sale of the majority of Vamed’s rehabilitation business. Upon completion of the transaction, PAI will become the majority owner of the new company with 67 percent, while Fresenius will retain 33 percent. The rehabilitation business comprises 67 facilities with 9,100 beds and around 9,500 employees (FTE) across Germany, Austria, Switzerland, the Czech Republic, and the UK. It has an enterprise value of €853 million. In 2023, it generated revenues of approximately €1 billion and was profitable. Closing is expected in the second half of 2024, subject to regulatory approval and the customary closing conditions. Approval of the transaction by a Vamed General Meeting where Fresenius holds a requisite 77 percent majority is expected shortly. The transaction follows last year’s announcement to focus on the Operating Companies Fresenius Kabi and Fresenius Helios.
“Building on the encouraging momentum of #FutureFresenius, the divestment is another milestone in our portfolio optimization. The rehabilitation franchise is a perfect fit for the new owner and will ensure the continuity of the business. For Fresenius it will reduce complexity and free up management capacity to further focus on our core and driving growth. Our full dedication at Fresenius is to advancing patient care globally,” said Michael Sen, CEO of Fresenius.
The rehabilitation business is Vamed’s largest business unit and offers a comprehensive range of healthcare services outside of Fresenius’ core focus areas. The business has strong competitive positions, but significant capex and management focus is required to realize its full value potential. As a stand-alone business and benefitting from PAI’s vast expertise in managing complex assets, the new company will be well positioned to meet the needs of its patients even better.
PAI is an international private equity firm that invests in market-leading companies globally. It has an extensive investment track record in the healthcare sector including DomusVi, a leading player in the European residential elderly care sector.
The announced transaction is integral to the ongoing realignment of Fresenius Vamed’s distinct businesses. Fresenius initiated an in-depth analysis of Vamed’s business model, its governance and relevant processes in 2023. At the same time, a comprehensive and far-reaching restructuring program was initiated with the clear goal of increasing Vamed’s profitability.
UBS is acting as financial advisor and Latham & Watkins is serving as legal advisor to Fresenius.
This release contains forward-looking statements that are subject to various risks and uncertainties. Future results could differ materially from those described in these forward-looking statements due to certain factors, e.g. changes in business, economic and competitive conditions, regulatory reforms, results of clinical trials, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, the availability of financing and unforeseen impacts of international conflicts.
Fresenius does not undertake any responsibility to update the forward-looking statements in this release.
Fresenius has successfully completed the divestment of its stake in the hospital Clínica Ricardo Palma in Lima, Peru. The sale marks Fresenius’ exit from the Peruvian hospital market and is in line with the company’s announcement to divest certain assets as part of #FutureFresenius.
Fresenius has successfully completed the divestment of fertility services group Eugin. As announced in November 2023, global fertility group IVI RMA (a KKR portfolio company) and GED Capital acquired Eugin for up to €500 million including earn-outs. The transaction has received all regulatory approvals.
The divestment marks another milestone in the implementation of #FutureFresenius and is in line with the company’s commitment to a simplified structure, sharper focus and accelerated performance. Furthermore, the sale proceeds will benefit Fresenius’ financial flexibility.
The sale only comprises the Eugin Group. Fresenius Helios' well-established legacy business of fertility treatments in selected hospitals and outpatient centers of Quirónsalud and Helios Germany will remain with Fresenius Helios and continue to offer fertility treatments.
This release contains forward-looking statements that are subject to various risks and uncertainties. Future results could differ materially from those described in these forward-looking statements due to certain factors, e.g. changes in business, economic and competitive conditions, regulatory reforms, results of clinical trials, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, the availability of financing and unforeseen impacts of international conflicts.
Fresenius does not undertake any responsibility to update the forward-looking statements in this release.
Fresenius Helios will be linking digitalization even more closely with its core activities in inpatient and outpatient healthcare. The company will strengthen areas such as the digitalization of clinical processes and clinical decision making, for example through the responsible use of artificial intelligence.
Furthermore, a Digital Innovation Officer within the German Helios organization will explore innovative directions in digitalization. The implementation of digitalization processes and solutions will be the core task of the newly created function of the Head of Transformation Management at Helios. Also Quirónsalud in Spain is successfully driving forward the expansion of its leading digital processes.
In this context, Fresenius Helios will discontinue the activities of Curalie, which specializes in health apps, from the end of 2023. The Curalie subsidiaries meditec and ibs will be sold. Respective binding agreements have been signed. The business operations of the parent company Curalie GmbH and its other subsidiaries will be discontinued. The measures are in line with #FutureFresenius' intention to further focus business activities and reduce complexity.
Fresenius Kabi is further executing on its Vision 2026 strategy: The company and the Prange Group today have signed an agreement to transfer the ownership of Fresenius Kabi's plant in Halden, Norway, to HP Halden Pharma AS, a company of the Prange Group. The Prange Group, together with its affiliate Adragos Pharma, take over the plant with equipment as well as full staff and will continue the manufacturing of Fresenius Kabi’s products. This is another step to reduce complexity and optimize utilization in its global manufacturing network.