We assisted the INVL Baltic Sea Growth Fund in completing the acquisition of Nemunas, one of the most modern treatment centres in Birštonas; and Eglės Sanatorija – one of the largest spa and treatment centres in the Baltics. The transactions were closed following regulatory approval from the Lithuanian Competition Council.
Nerijus Drobavičius, a partner at INVL Baltic Sea Growth Fund, comments: “We are continuing to invest in this high performing sector and look forward to further strengthening leading position in the Baltic States, created by the shareholders, managers and employees of the company. The healthcare sector in Lithuania and the entire Baltic region, as well as in other European Union countries, has high potential for growth as society continues to pay more attention and puts more focus on health restoration and strengthening individual well-being. Due to its impressive quality offering and extensive range of healthcare services, the Eglės Sanatorija brand has become probably the best known in Lithuania.”
Established in 1972, Eglės Sanatorija provides post-acute and recovery treatment and medical rehabilitation, as well as wellness services, at in the resorts of Druskininkai and Birštonas. The facility, operating in Druskinininkai, is currently the largest in Northern Europe. It can accommodate up to 1,300 guests at one time with the premises in Birštonas housing up to 730 guests.
The total combined revenue of the functional diagnostics and rehabilitation centre Nemunas and Eglės Sanatorija last year reached EUR 23.4 million, with both companies employing over 700 people. It is planned that consolidated revenue for 2022 will be more than EUR 30 million.
There are also plans to invest further in these projects with the renovation of the old sanatorium buildings in order to increase the energy efficiency of the premises as well as adapting the renovated premises in order to offer new procedures and services.
Our services and the project team
We assisted the client on all transaction-related matters, including due diligence, negotiations and merger clearance. Our team, led by partner Mantas Petkevičius and senior associate Laura Matuizaitė-Mikštė, consisted of partners Daivis Švirinas and Asta Augutytė-Rapkevičienė, counsel Lina Ragainytė-Mezenė, senior associate Edita Daukšienė, associates Goda Drąsutė, Gabrielė Raižytė and Auridas Litvinas, as well as assistant lawyer Danas Šniūtė.