DGAP-News: RHÖN-KLINIKUM AG secures future of Marburg Ion Beam Therapy Center (MIT)

Bad Neustadt a. d. Saale | 16 November 2018

Corporate News

RHÖN-KLINIKUM AG secures future of Marburg Ion Beam Therapy Center (MIT)

- RHÖN-KLINIKUM AG acquires 75.1 per cent interest in MIT GmbH currently held by Universitätsklinikum Heidelberg (UKHD) with effect from 1 January 2019 and, subject to conditions precedent being met, will become the sole shareholder

- RHÖN-KLINIKUM AG will secure business operations at MIT GmbH over the coming financial years

- Provided that the contracts are finalised on time, Management of MIT GmbH will withdraw its insolvency application within the required time limit

- Agreement to ensure continued, uninterrupted patient treatment without restriction and to strengthen medical care and research in Hesse in general

- Agreement will in no way affect guidance of RHÖN-KLINIKUM AG for 2018

RHÖN-KLINIKUM AG, one of the largest healthcare service providers in Germany, has provided the basis for successfully relaunching the Marburg Ion Beam Therapy Center (MIT). The Company has reached agreement with the majority shareholder, Universitätsklinikum Heidelberg (UKHD), currently holding 75.1 per cent in MIT GmbH, on taking over this corporate interest and on the future appointment of the Management by RHÖN-KLINIKUM AG. The parties agreed to maintain secrecy regarding the amount of the purchase price and the contract details. As per agreement, the acquisition will take place with effect on 1 January 2019. Closing of the transaction is subject to the usual conditions precedent being met.

RHÖN-KLINIKUM AG will secure the business operations of MIT GmbH over the coming financial years. That will enable the Management of MIT GmbH to withdraw the insolvency application before 30 November 2018.

Stephan Holzinger, Chairman of the Board of Management of RHÖN-KLINIKUM AG, said: "With the agreement reached, which will allow for MIT to be successfully relaunched under the medical as well as commercial management of RHÖN-KLINIKUM AG, we are able to secure continued ongoing care to patients with an innovative treatment therapy." Dr. Gunther Weiß, member of the Board of Management of RHÖN-KLINIKUM AG for UKGM and Chairman of the Management Board of UKGM GmbH, stated: "The agreement is a very positive signal for the Marburg healthcare site, UKGM and the region of Central Hesse. We are seeking not only to secure patient care but also to expand cooperation with research facilities."

Medical care for patients at the particle therapy facility in Marburg has so far been performed by the University Hospital of Heidelberg, which is also a contractual partner of the health insurance funds. Until the contracts have been transferred to Universitätsklinikum Gießen und Marburg (UKGM), responsibility for clinical processes and compliance with radiation protection regulations will continue to lie with UKHD. The objective is to transfer the clinical and technical operating licence to UKGM as soon as possible and to reach agreement with the health insurance funds on new care contracts for UKGM.

The agreement now reached follows talks held with the Hesse Ministry of Higher Education, Research and the Arts; with RHÖN-KLINIKUM AG; and with the majority shareholder, the University Hospital of Heidelberg. On 12 September 2018, the Management of the Marburg Ion Beam Therapy Center (MIT) had filed for insolvency for MIT with the Local Court of Heidelberg.

Marburger Ionenstrahl-Therapie Betriebs-Gesellschaft mbH was established in 2014 as the subsidiary of the University Hospital of Heidelberg (75.1 per cent) and RHÖN-KLINIKUM AG (24.9 per cent). Using protons and heavy ions to achieve pinpoint precision, the Ion Beam Therapy Center offers a highly effective way of treating tumour disease whilst minimising the impact on high-risk organs such as the heart, lungs, liver and kidneys. Some 684 patients have been treated at the Marburg Ion Beam Therapy Center since it was first put into service. In 2017, a total of 284 patients were treated at MIT, and this year treatment has begun in 232 patients to date. The facility was built by Siemens AG in 2007 and 2008.

Guidance

For the current financial year 2018, RHÖN-KLINIKUM AG confirms the existing forecast, with revenues of 1.24 billion euros within a range of plus or minus 5 per cent being expected. Regulatory measures such as lower remuneration for services entailing high material cost intensity, particularly in the field of cardiology, or the fixed cost degression discount on surplus services, have to be taken into account as burdening factors. For earnings before interest, tax and depreciation/amortisation (EBITDA), we expect a much higher level compared with 2017 of between 117.5 million euros and 127.5 million euros - which in addition to other effects is favourably influenced by the agreement on separate accounting at UKGM.

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RHÖN‐KLINIKUM AG is one of the largest healthcare providers in Germany. The hospital Group offers excellent medical care with a direct link to universities and research facilities. More than 830,000 patients are treated every year at the five Group hospitals located in Bad Berka, Bad Neustadt, Frankfurt (Oder), Giessen and Marburg (UKGM) where approx. 16,700 employees work. With the RHÖN Campus concept the Company is currently implementing an innovative and path breaking project that raises fully comprehensive healthcare in rural areas to a new level of excellence and is geared to the growing needs of patients. www.rhoen-klinikum-ag.com
Contact:

RHÖN-KLINIKUM AG |Head of Corporate Communications and Marketing
Elke Pfeifer
T. +49 9771 65-1327 | elke.pfeifer@rhoen-klinikum-ag.com

RHÖN-KLINIKUM AG |Head of Investor Relations and Treasury
Julian Schmitt
T. +49 9771 65-1536 | julian.schmitt@rhoen-klinikum-ag.com
RHÖN-KLINIKUM AG | Schlossplatz 1 | D-97616 Bad Neustadt a. d. Saale