Pihlajalinna begins negotiations for the purchase of all the shares in Työterveys Virta Oy
Pihlajalinna Plc Press release 9 October 2020 at 1.15 p.m.
Pihlajalinna begins negotiations for the purchase of all the shares in Työterveys Virta Oy
Pihlajalinna is beginning negotiations for the purchase of the entire shareholding of Oulu-based Työterveys Virta Oy, which provides occupational health care services.
Pihlajalinna emerged successful in a public bidding competition organised for the sale of Työterveys Virta Oy’s shareholding and its occupational health care services. Työterveys Virta Oy’s owners and Pihlajalinna will next sign a memorandum of intent. The parties intend to carry out the transaction and the procurement of occupational health care services based on procurement agreements by the end of 2020.
Työterveys Virta Oy’s majority owners are the City of Oulu and Northern Ostrobothnia Hospital District. The company’s other owners are the municipalities of Hailuoto, Kempele, Liminka, Lumijoki. Muhos and Tyrnävä, the Laboratory Centre of the Business-based Joint Municipal Authority of Northern Finland (NordLab) and the Joint Municipal Authority of Wellbeing in Raahe District.
As part of the transaction, the occupational health care services of the employees of the present owners of Työterveys Virta Oy will be transferred to Pihlajalinna. The contractual period is four years, after which the agreements will continue to be valid until further notice. The responsibility of providing occupational health care services that forms part of the statutory organisational responsibility of the municipalities will also be transferred to Pihlajalinna.
Työterveys Virta has approximately 26,000 personal customers and about 140 employees. The company has a total of seven branches in Oulu, Kempele, Muhos, Liminka, Tyrnävä and Raahe. In 2019, it recorded a turnover of approximately €13.6 million. The turnover consists solely of the sale of occupational health care services.
The transaction will strengthen Pihlajalinna’s growth in the Oulu region surrounding municipalities, and fundamentally expand Pihlajalinna’s business throughout Northern Finland.
“For Pihlajalinna, this transaction represents strategically important success. The purchase of Työterveys Virta will support the growth of Oulu’s new medical centre, and expand the range of services in the region of Northern Ostrobothnia. At the same time, we shall improve services for Työterveys Virta’s present occupational health care customers through, for example, Pihlajalinna’s nurse telephone and remote doctor services, and by offering a work capacity management portal. These will facilitate work with occupational health care customers,” says Pihlajalinna’s Managing Director Joni Aaltonen.
In order to complete the deal, the appropriate due diligence procedures will be carried out, after which the procurement will proceed to the contract stage and the approval of the contracts of sale.
For further information, please contact:Joni Aaltonen, CEO
Requests for contacts through Pihlajalinna’s communications:
Communications Manager Taina Lehtomäki
tel. +358 50 451 3678
taina.lehtomaki@pihlajalinna.fi