Finnish Healthcare Provider Augments Network
By Thomas | Published January 20, 2011
Terveystalo, the established Finnish healthcare group has announced that it will acquire the ODL Tervey’s network of medical facilities from its current owners – Oulun Diakonissalaitos foundation.
Terveystalo will take-over the Oulu’s Deaconess Institute’s health services in order to consolidate their existing Finnish private healthcare operations. The acquisition will provide Terveystalo with healthcare facilities in the North of Finland. This will expand the healthcare provider’s reach in this European country with a reputation for high quality standards of healthcare.
Terveystalo is Finland’s leading private healthcare provider offering comprehensive healthcare services, occupational healthcare and hospital services to individuals, groups and insurance companies, including patients out-sourced from the public healthcare sector.
Finland has a relatively small population of 5.2 million people, but there is a high proportion of aging inhabitants suffering from chronic medical conditions. While private healthcare currently supplies around 20 percent of healthcare coverage in Finland, there is an established interaction with the state run medical system – the Social Insurance Institution (KELA). The combination of these factors provides private healthcare operators, such as Terveystalo, with incentives for expansion of their activities and profit objectives. KELA supports private healthcare providers in Finland by using their facilities for patient treatments and doctor consultation fees.
Terveystalo is currently present in 100 locations spread across 60 towns in Finland, supplying more than 10 percent of the 17,000 doctors working in the country. Currently Terveystalo has a workforce of roughly 2,500 medical professionals generating group sales in 2009 amounting to €300 million (US$ 360 million).
The proposed acquisition by Terveystalo is subject to approval by the Finnish Competition Authority.
The Finish healthcare system is regarded as one the best in the world, with residents covered under a largely decentralized healthcare system, which has been developed following major reforms introduced in the 1990s. While the Finnish private healthcare sector plays a residual role in the provision of the country’s healthcare, it offers patients a high standard of care with minimal waiting times.
Healthcare Company Mentioned:
Terveystalo is Finland’s leading private healthcare service company, operating private clinics and hospitals that offers healthcare, occupational health, and medical treatment services for corporations and private individuals in the country. Its services include comprehensive occupational healthcare services, including testing procedures, as well as medical treatment services; general practitioner and specialist services; hospital services, such as surgical operations; and diagnostics services comprising imaging, laboratory, and screening services for private clinics, occupational healthcare units, and medical centers.