MD Medical Investments : Group completes acquisition of hospital in Moscow

MD MEDICAL GROUP COMPLETES ACQUISITION OF HOSPITAL IN MOSCOW

7 July 2023 - MD Medical Group Investments Plc ("MD Medical Group", "MDMG", the "Group" or the "Company" - LSE MOEX: MDMG), a leading Russian private healthcare provider, announces that it has completed the acquisition of ready for service hospital in Moscow.

The new seven-story medical centre with a total area of 8,755 sq. m, acquired under the transaction, is located at Michurinsky Prospekt, 31. The total investment in the project is estimated at 2,840 million rubles. The transaction is financed from the Group's own funds.

Based on the existing facilities of the acquired centre, in the second half of 2023 the Company plans to launch a new multidisciplinary hospital MD Group Michurinsky. The hospital will be additionally fitted with world-class medical equipment produced by General Electric Healthcare and Fijifilm. The amount of additional investment in the project is estimated at 600 million rubles. The transaction amounted to 2,240 million rubles.

The new in-patient facility has 60 beds, including 10 in the emergency department and 6 in the operating room. The multidisciplinary centre has an annual capacity for up to 231,000 out-patient treatments and 1,200 IVF cycles. The new hospital will offer a wide range of services for the whole family, including the provision of medical care within the surgical and therapeutic in-patient facility, IVF, as well as functional diagnostics and outpatient treatment. Patient treatment will be carried out under the VHI program, as well as MHI.

Mark Kurtser, CEO at MDMG, said:

"We are pleased to complete the acquisition of the new hospital, marking another important milestone in the development of MD Medical Group. This transaction is fully in line with our strategy to solidify our position in Moscow and the Moscow Region and expand the Group's hospital segment. The acquisition of a new medical centre will materially increase the volume of medical care in Moscow, including due to MD Medical Group's high standards of medical care, as well as favorable location of the hospital. We expect MD Group Michurinsky to greet first patients in the second half of 2023."

Notes:

1. This announcement contains inside information.

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About MD Medical Group

MD Medical Group is a leading provider in the Russian private healthcare service market. The Company manages 49 modern healthcare facilities, including 10 hospitals and 39 out-patient clinics in 26 regions of Russia. In 2022, MD Medical Group's revenue amounted to RUB 25.2 bln while EBITDA amounted to RUB 7.9 bln. The Company's GDRs are traded on Moscow Exchange (MOEX: MDMG).

Forward-Looking Statements:

This press release contains forward-looking statements, which are based on the Company's current expectations and assumptions and may involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. The forward-looking statements contained in this press release are based on past trends or activities and should not be taken that such trends or activities will continue in the future. It is believed that the expectations reflected in these statements are reasonable, but they may be affected by a number of variables which could cause actual results or trends to differ materially, including, but not limited to: conditions in the market, market position of the Company, earnings, financial position, cash flows, return on capital and operating margins, anticipated investments and economic conditions; the Company's ability to obtain capital/additional finance; a reduction in demand by customers; an increase in competition; an unexpected decline in revenue or profitability; legislative, fiscal and regulatory developments, including, but not limited to, changes in environmental and health and safety regulations; exchange rate fluctuations; retention of senior management; the maintenance of labour relations; fluctuations in the cost of input costs; and operating and financial restrictions as a result of financing arrangements. No statement in this press release is intended to constitute a profit forecast, nor should any statements be interpreted to mean that earnings or earnings per share will necessarily be greater or lesser than those for the relevant preceding financial periods for the Company. Each forward-looking statement relates only as of the date of the particular statement.