| Investment Date: | September 2012 |
| Exit Date: | March 1, 2021 (Click here to read the Deal Announcement) |
| Region: | UAE, KSA |
| Investment Type: | Greenfield |
Market Opportunity
CMRC operates in a highly under serviced, high growth sector within the MENA healthcare landscape. Post acute care (PAC) is one of the promising healthcare sectors in the region with large expansion potential.
Growth Story
At exit, in early 2021, CMRC is a leading high performance post-acute care (PAC) provider focused on long-term care and rehabilitation services. CMRC is the broadest provider of PAC services ranging from LTC to extensive rehabilitation, to complex ventilated patients (which includes a specialized transitional vent weaning program); these services are provided in inpatient, outpatient and recently launched homecare settings.
CMRC is fully committed to international best clinical standards, with clinical protocols and quality systems developed for a couple of years in collaboration with Spaulding Rehabilitation Network, a Harvard Medical Teaching Affiliate, and has earned the Joint Commission International (JCI) Accreditation, as well as the Commission on Accreditation of Rehabilitation Facilities (CARF) accreditation.
Inpatient
Comprehensive group of in-patient rehabilitation programs for restoring hope and making progress personal
Outpatient
Out-patient rehabilitation services to maximize clinical outcomes and to help patients to progress
Homecare
Homecare Service as a critical step for patients to ensure continuum of care, quality of life, and best possible personal progress
As an active investor we added value in many ways, according to our value creation playbook:
LEADING PAC PROVIDER WITH OUTSTANDING TRACK RECORD: CMRC has successfully grown to become one of the most dominant regional players in the PAC space. CMRC is well known with the deepest recognition and trust by regulators, payors, referral sources and patients
BEST-IN-CLASS CAPABILITIES AND CLINICAL QUALITY: CMRC demonstrates superior quality having obtained top accreditations through JCI and CARF, as well as consistently exceeding international clinical benchmarks and boasting the highest successful discharge rate among peers
PROFITABILITY: Historical revenues grew steadily from 2014 to 2020, with strong and sustainable EBITDA.
REMARKABLE FUTURE GROWTH PROSPECTS: CMRC has a well-defined expansion strategy to grow its business in the near to medium term.
EXPERIENCED TOP MANAGEMENT TEAM: Proven and cohesive management team with a proven track record of successfully scaling businesses
MOST DIVERSIFIED PAC PLAYER IN THE REGION: Leading with innovation, CMRC is the first private provider of a specialized transitional vent program and unique licensed program to treat CP patients. Additionally, CMRC is also the first PAC provider to provide continuity of rehabilitation services with dedicated outpatient clinic services inclusive of PT, OT and SLP
ESG: Robust ESG Framework and E&S Management System, to mitigate material risk, optimize intangible assets and contribute to U.N.SDG’s
Dr. Helmut Schuehsler
Back in 2012, we established CMRC with the hope of developing it into another one of the pioneers of long-term, post-acute and rehabilitative care in the region, as we did in 2010 when we formed Provita International Medical Center, the first of its kind in the Middle East. Today, we are extremely proud of the value we created with CMRC for patients, their families, the local healthcare system and our investors – by building a first-class management team and focusing on sustainable growth while providing excellent, patient-centric healthcare services.
CMRC successfully steered through the global pandemic throughout 2020, showing tremendous resilience in times of extreme adversity. This is testament to the true partnership between the company, its clinical partners and our commitment as a highly active growth capital investor. Our early focus on installing a rigorous ESG framework has enabled us to build a sustainable and successful healthcare company that has created more than 500 jobs to date and has significantly supported its community. We wish the company and its team continued success as they enter the next phase of their growth journey with the support of their new shareholders.
Dr. Howard Podolsky
CMRC has worked very closely with TVM Capital Healthcare over these past 8 years to develop the largest provider of post-acute care services in the GCC. Through TVM Capital Healthcare’s vision, guidance, and support CMRC has become the benchmark for world-class quality and exceptional care in the realm of long-term care, post-acute rehabilitation, outpatient rehabilitation, cerebral palsy services, and homecare. We have improved the lives of more than 1,000 inpatients and continue to treat hundreds of outpatients, pediatrics to geriatrics, on a daily basis.
We have been privileged to work with visionary, Dr. Helmut Schuehsler, and the entire TVM Capital Healthcare team as we deliver outstanding value to all our key stakeholders. As we look forward to the future it is the fundamental values and primary vision as developed in collaboration with TVM Capital Healthcare that we will carry forward into our next chapter at Cambridge Medical and Rehabilitation Center.
Impact and ESG
Contribution to the U.N. Sustainability Goals 3,5,8 and 12
As of Dec. 2020, CMRC employed 591 people, in 3 facilities, with a bed capacity of 256, admitted 347 patients in 2020 and served 29.968 outpatient visits. We started the concept and invested into the company after identifying a gap in healthcare provision, which we aimed to close by offering specialty care services in the post-acute care space in the UAE.
It was our objective to complement the public health offering with high quality healthcare services, that were not easily available locally at that time. As we aim to build resilient, well-governed, centers of healthcare excellence, we implemented an ESG framework from the start, to ensure best possible intangible value creation, from a Governance, Social and Environmental standpoint.
Selected ESG Results according to the Annual ESG Report, as of December 31, 2020:
Diversity & Inclusion
UAE: 448 Staff Members, from 20+ nationalities , 145 male, 303 female, 58% of management positions across all levels held by women
Kingdom of Saudi Arabia: 143 staff members, from 20+ nationalities, 57 male, 86, female, 33% of management positions across all levels held by women
Human Rights, Labor Practices
100% of the workforce (workers and management) are being trained annually on:
- Work hours, legal wage rates and benefits
- Rights to freedom of movement, passports, freedom from agent fees, etc.
- Harassment (sexual, religious, etc.)
- Discrimination
- Grievance mechanisms
Ready to take your next step?
If you are interested in more information about our investment approach in the MENA and Southeast Asian region, please contact us: