Case

JBR helps European healthcare organization define growth strategy

Identify the most promising product-market combinations for further expansion of the position in the Dutch healthcare market.

JBR Business Valuation

Assignment

JBR was approached by the Dutch entity of a European healthcare organization for support in identifying the most promising product-market combinations for further expansion of its position in the Dutch healthcare market.

 

Background

The client is the Dutch subsidiary of an international healthcare company. The company operates in several European countries and offers a full, unified range of care facilities and services for people with reduced autonomy through a network of specialized facilities. In recent years, the company has acquired an umbrella of Dutch care organizations within its various segments.

The Dutch healthcare sector will grow strongly, driven in part by an aging population. On the one hand, developments such as extramuralization and digitization offer interesting opportunities. On the other hand, the dynamics in the sector are extremely challenging: constant pressure on costs, a complex financing system, a dominant role of government and insurers, and a shortage of healthcare professionals. Not every organization succeeds in combining high care quality and profitable business models.

 

Problem Statement

In recent years, the client's focus in the Netherlands has been primarily on rapid acquisitive growth, creating an umbrella of several separate, as yet unintegrated organizations. In order to further expand the position in the Netherlands, a close look must be taken at which product-market combinations offer the best opportunities and have strong synergies with the current portfolio. Furthermore, the loose organizations of the umbrella should be integrated and knowledge and synergies should be used.

 

Our contribution

Together with the client, relevant product-market combinations were identified that fit the current portfolio. In addition to macro trends of the Dutch healthcare sector, the strategic characteristics of the relevant market segments were thoroughly mapped in an external analysis. During the process, findings were shared with the client in several workshops to facilitate a well-founded strategic selection process.

Accompanying the strategic process, our Corporate Finance consultants conducted a benchmark of the financial performance of all the organizations based on KPIs. The objective of the benchmark was to examine the financial attractiveness of the segments and identify room for improvement within the organizations.

 

The result

A strategic document will be presented to the Group Management Board and will serve as the basis for investment decisions on the further growth of the Dutch subsidiary.

Contact the deal team personally

http://Caspar%20van%20der%20Geest

Caspar van der Geest
Partner

http://Merijn%20Veltkamp

Merijn Veltkamp
Associate