EI to finance development of radiotherapy center

Polish Enterprise Fund VII (PEF VII) will buy 100% of the Center for Cancer Diagnostics and Therapy (CDiTO) from Voxel, a Warsaw-listed operator of diagnostic medical centers and a manufacturer of radiopharmaceuticals. CDiTO is developing and building a new radiotherapy center at a clinical hospital of the Medical University of Silesia. The center will apply the latest radiotherapy techniques to treat cancer.

Following the acquisition of CDiTO, the radiotherapy project will be developed jointly by PEF VII and Voxel. PEF VII will take over responsibility for the €14.5 million investment program, which will be used to construct the center and to buy three linear accelerators for cancer treatment. Within the center Voxel will open a modern diagnostic facility equipped with diagnostic apparatus including a PET/CT scanner, and will install a €5 million Gamma Knife – a radiosurgical device for treating brain tumors.

Both parties to the agreement plan to open the center in the second half of 2013. The new center will broaden access to cancer treatment in Poland. To match world standards, Poland should have approximately 150-180 radiotherapy devices (linear accelerators), whereas there are just 113 in the country at present. Even in Upper Silesia, which is one of the best equipped regions in Poland in terms of radiotherapy accelerators, their number is still below world standards.

“If cancer treatment in Poland is to be effective, radiotherapy must become much more widely available. Because the devices used in this branch of medicine are expensive, and the public funding for investment is limited, private capital can play a significant role here. We are pleased to be able to put our capital to use in this area, which is important for all of us,” said Michał Rusiecki, a managing partner at Enterprise Investors.

“Working with an experienced investor will enable quick and efficient launch of the center, which operates in the area representing one of the biggest technological challenges in medicine. Our venture is a perfect example of a modern model of cooperation between the public healthcare system and major private partners,” said Jacek Liszka, CEO of Voxel.

“An integral part of the mission of the Medical University of Silesia is to educate students and conduct medical research. The Center for Cancer Diagnostics and Therapy (CDiTO) together with our Cancer Center will provide patients with comprehensive professional diagnosis and treatment, and enable the development of research activities,” said Przemysław Jałowiecki, professor of medicine and rector of the Medical University of Silesia in Katowice.

Enterprise Investors is one of the largest private equity and venture capital firms in Poland and Central and Eastern Europe. Active since 1990, the firm has raised eight funds with total capital of €2 billion. These funds have invested €1.5 billion in close to 130 companies across a range of sectors and exited more than 90 companies with total gross proceeds of €1.7 billion. The company has broad experience in investing in different segments of the Polish medical market. The EI-managed funds have invested a total of €90 million in nine companies from this sector thus far.