26 July 2023 - 6.00 p.m.
Agreement to acquire Solutions For Tomorrow (SFT)
DMS Group expands into mobile medical imaging
- A strategic acquisition at the cutting edge of medical imaging
- Motorised mobile equipment that offer high added value
- A value-creating transaction:
- strengthening the Group's competitive positioning
- considerable operational, commercial and technological synergies
26 July 2023 - 6.00 p.m. - Diagnostic Medical Systems (Euronext Growth Paris: FR0012202497 - ALDMS and FR001400IAQ8 - DMSBS), a specialist in high-performance medical imaging systems for digital radiology and bone densitometry, announces it has signed an agreement to acquire Solutions For Tomorrow, a specialist in mobile X-ray equipment. This acquisition will be carried out entirely through a stock swap.
Solutions For Tomorrow: a mobile X-ray specialist operating in 35 countries
Solutions For Tomorrow (https://solutionsfortomorrow.se/) is a Swedish company based in Väckelsång. It was founded in 2011 by three radiology experts, Mattias Guldstrand, Martin Yngvesson and Jan Bååt.
Solutions For Tomorrow specialises in motorised mobile medical imaging equipment, offering industry-leading solutions with unrivalled compactness, ergonomics and power, protected by 15 patents.
Solutions For Tomorrow has an installed base of more than 500 units deployed in 35 countries. It has 23 employees and generated revenue of €6m in 2022.
This acquisition will give DMS Group a comprehensive mobile radiology offering, combining its MC2 solution currently under development(1) for the state-of-the-art non-motorised mobile market and SFT's motorised solution for large hospitals and the North American market. The ADAM platform, DMS Group's proprietary software platform will be deployed for Solutions For Tomorrow solutions.
The integration of Solutions For Tomorrow will speed up execution of the Imaging 2027 plan with new financial targets that will be communicated once the deal is finalised.
Samuel Sancerni, Chairman of DMS Group said: “We are very excited at the idea of welcoming Solutions For Tomorrow into our Group. The complementary nature of our offers and our capacity for joint innovation will enable us to speed up our value strategy and conquer new markets on a global scale. This acquisition is also a reflection of our ambition to develop a genuine sector of excellence for medical imaging in France and Europe. The management and teams at Solutions For Tomorrow share our vision and our values and will be fully committed to working alongside us. We look forward to welcoming this talented team and sharing our ambition with them.”
Mattias Guldstrand, CEO and Co-founder of Solutions For Tomorrow AB said: “We are excited about the merger with the DMS Group and becoming a part of a strong player in the medical imaging market. The strengths of both companies can be fully utilized and there are a lot of possibilities to expand globally by joining forces. Solutions for Tomorrow has developed a unique mobile x-ray device and the DMS Group offers a wide sales channel to sell the devices globally. This is a logical step to be able to offer the True X-Ray Mobility everywhere.”
The all-share transaction remains subject to the usual conditions precedent. It is expected to be finalised in the third quarter of the current fiscal year.
In return for the contribution of 100% of Solutions For Tomorrow shares, its main shareholder Verso Capital, a leading Nordic investment fund, and the other co-shareholders will receive 2,753,819 DMS SA shares, of which 789,533 DMS SA treasury shares and 1,964,286 newly issued shares.
On completion of the transaction, Verso Capital will become a new reference shareholder alongside the management team and will fully share DMS's ambition to consolidate the medical imaging sector in Europe.
Kepler Corporate Finance acts as financial advisor to DMS Group, and Stephenson Harwood as legal advisor.
King & Spalding acts as legal advisor to Verso Capital and Solutions For Tomorrow.
- Programme funded as part of a French government initiative to stimulate the French economy and future investment.
About DMS Group:
DMS Group is a holding company listed on the Euronext Growth stock exchange in Paris (ISIN: FR0012202497 - Ticker: ALDMS) and is eligible for the SME personal equity plan (PEA-PME).
The Group's principle active is DMS Imaging, an industrial company that develops, designs and manufactures industry-leading medical imaging systems, mainly for digital radiology and bone densitometry, and has its own production centre in the south of France (Gallargues-le-Montueux). With more than 40 years of experience, DMS Imaging has an established network of 140 distributors worldwide and is part of several major international OEM partnerships. ..
On 13 June 2023, DMS Group awarded share subscription warrants listed on the Euronext Growth market in Paris (ISIN: FR001400IAQ8 - Ticker: DMSBS) and exercisable until 12 September 2025.
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