Elekta strengthens its position in Turkey with acquisition of Mesi Medikal

STOCKHOLM--()--Regulatory News:

Elekta has acquired Mesi Medikal A.S., a leading distributor of radiation oncology solutions in Turkey. The acquisition significantly strengthens Elekta’s market position in a country with a shortage of radiotherapy devices and software and a growing incidence of cancer.

Around 100,000 Turkish patients are estimated to need radiotherapy each year - a figure expected to reach approximately 170,000 by 2023*. Elekta will increase its commitment to this high-growth market by establishing an office in the country, staffed by Mesi Medikal’s current employees.

“With only about two linear accelerators per million people in Turkey, we see strong growth opportunities,” says Niklas Savander, President and CEO of Elekta. “Elekta projects that almost 380 linear accelerators will be required by 2023, compared to today’s 210 units. The best way to capture this growth is to develop the relationship we have had with Mesi Medikal since 1997.”

In addition to linear accelerators, Mesi Medikal has also been Elekta’s distributor for software and brachytherapy solutions.

The acquisition of Mesi Medikal is expected to add approximately 0.3% to Elekta’s revenues on an annual basis. The transaction is expected to be EPS accretive on an annual basis. There is a three-year earn out component to the agreement between seller and Elekta.

Both signing and closing of this acquisition will take place today, July 24, 2014. Mesi Medikal will change its name to Elekta and will be a fully owned company.

*Asian Pacific Journal of Cancer Prevention, Vol 12, 2011 (http://www.apocp.org/cancer_download/Volume12_No9/2157-62%20c8.30%20Fateh%20Goksel.pdf)

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For further information, please contact:
Gert van Santen, Group Vice President Corporate Communications, Elekta AB
Tel: +31 653 561 242, e-mail: gert.vansanten@elekta.com
Time zone: CET: Central European Time

Johan Andersson, Director, Investor Relations, Elekta AB
Tel: +46 702 100 451, e-mail: johan.andersson@elekta.com
Time zone: CET: Central European Time

The above information is such that Elekta AB (publ) shall make public in accordance with the Securities Market Act and/or the Financial Instruments Trading Act. The information was published at 07:30 CET on July 24, 2014.

About Elekta

Elekta is a human care company pioneering significant innovations and clinical solutions for treating cancer and brain disorders. The company develops sophisticated, state-of-the-art tools and treatment planning systems for radiation therapy, radiosurgery and brachytherapy, as well as workflow enhancing software systems across the spectrum of cancer care. Stretching the boundaries of science and technology, providing intelligent and resource-efficient solutions that offer confidence to both health care providers and patients, Elekta aims to improve, prolong and even save patient lives.

Today, Elekta solutions in oncology and neurosurgery are used in over 6,000 hospitals worldwide. Elekta employs around 3,500 employees globally. The corporate headquarters is located in Stockholm, Sweden, and the company is listed on the Nordic Exchange under the ticker STO:EKTAB. Website: www.elekta.com.

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Contacts

Elekta AB
Gert van Santen, +31 653 561 242
Group Vice President Corporate Communications
gert.vansanten@elekta.com
or
Johan Andersson, +46 702 100 451
Director, Investor Relations
johan.andersson@elekta.com

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Contacts

Elekta AB
Gert van Santen, +31 653 561 242
Group Vice President Corporate Communications
gert.vansanten@elekta.com
or
Johan Andersson, +46 702 100 451
Director, Investor Relations
johan.andersson@elekta.com