Pihlajalinna Oyj - Company Announcement

Pihlajalinna Oyj: Pihlajalinna acquires Koskiklinikka

Pihlajalinna Oyj Stock Exchange release 9 December 2015, 9.30 EET

Pihlajalinna  acquires  Koskiklinikka

According to the agreement signed today Pihlajalinna Oyj's subsidiary company
Pihlajalinna Terveys Oy has agreed to acquire all shares of Tampereen
Lääkärikeskus Oy (Koskiklinikka) from current private owners and Diacor
terveyspalvelut Oy. Included in the agreement is also Koskiklinikka clinic's 50
% share of the imaging service company Röntgentutka Oy. The net debt-free value
of the acquisition target is 21.2 million euros. The transaction price will be
paid fully in cash when the acquisition is completed.  The agreement is expected
to come into force by the end of the year 2015. The current personnel of
Koskiklinikka will continue in the service of Pihlajalinna Group. Koskiklinikka
branch clinics will become part of Pihlajalinna's Dextra chain.

The acquisition strengthens Pihlajalinna's growth to the leading social and
healthcare company in Finland according to its strategy.  Koskiklinikka is the
largest and most well-known private healthcare service provider in Tampere that
offers comprehensive general and specialist practitioner services, laboratory
and diagnostic services as well as occupational healthcare and private hospital
services. The company has 150 healthcare professional and other staff as well as
250 practitioners.  In 2014 Koskiklinikka's net sales were 15.4 million euros
(total sales apprx. 28 million euros)  and operating profit 1.7 million euros.
Röntgentutka Oy:'s net sales were 4.6 million euros (total sales apprx.6 million
euros) and operating profit 1.12 million euros. Koskiklinikka has a large
private clinic and hospital in Tampere and four smaller private clinics in
Tampere, Pirkkala and Jyväskylä.

Pihlajalinna CEO Mikko Wirén: It is an incredibly great moment in my career when
two strong Finnish companies in the Tampere region combine their forces.
Koskiklinikka has almost 50 years of operations as a very highly valued company
which is known for its high quality services and talented and committed
personnel. With this acquisition we will grow together to be the largest social
and healthcare company by far in Tampere region and the acquisition will also
bring significant growth on a national level to our Private clinics and
Specialist care segment revenue. The modern facilities and Koskiklinikka
hospital's doctor and surgery capacity will be available for the whole group in
the future and will form a good foundation of growth for the Dextra chain.

Tampereen Lääkärikeskus Oy Chairman of the Board Marjatta Pekola-Kiviniemi:
Koskiklinikka has operated successfully for almost 50 years. Domestic
Pihlajalinna Group will offer an excellent opportunity for the high quality
development of Koskiklinikka's operations also in the future. I'm very happy
that this acquisition will guarantee Koskiklinikka clinic's high quality
healthcare services availability in the region. The synergies between the
personnel, facilities and equipment combined with the high quality will manifest
to the customers as even better cost efficiency and treatment effectiveness.

Pihlajalinna is evaluating the possibility for an equity offering to finance
both these and possible other acquisitions and to support the growth strategy of
the Company, and has retained Carnegie Investment Bank AB and Danske Bank A/S,
Helsinki Branch to assist in the evaluation. The proposal of the Board
authorization to decide on the equity offering will be handled in the
Pihlajalinna Extraordinary General Meeting on December 14 2015.

Further information:

Mikko Wirén, CEO, Pihlajalinna Oyj, +358 50 322 0927

Marjatta Pekola-Kiviniemi, Chairman of the Board, Tampereen Lääkärikeskus Oy, +
358 40 561 9618

Terhi Kivinen, SVP, Communications, Marketing and IR, Pihlajalinna Oyj,
+358 40 848 4001, terhi.kivinen@pihlajalinna.fi

Distribution

Nasdaq OMX Helsinki

Key media

investors.pihlajalinna-konserni.fi




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