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Announcement – Alliance Medical Complete the Purchase of 100% of the Business of Erigal in UK

Tuesday, July 16, 2013

Erigal was incorporated in 2002 to combine the resources of two organisations: Alliance Medical and M2i Holdings.

The goals of the joint venture have now been achieved and, following extensive negotiations with the Erigal group lenders, Alliance Medical and M2i have taken the joint decision to demerge the business and focus their respective efforts on supporting the growth of PET in the UK and Ireland, respectively.  This has been achieved by M2i purchasing the whole of the Irish company M2i Limited and Alliance Medical purchasing the 50% of Erigal’s UK shares it did not already own.

The creation of an integrated Radiotracer supply and Imaging organisation now provides the only integrated molecular imaging service in the UK, providing for our customers, the security of supply of FDG so necessary to the critical area of Cancer imaging.

Erigal will continue to focus on its key strategic objective of delivering the most reliable supply of high quality radiopharmaceuticals to the NHS and other organisations.  All current contracts and business relationships will be unaffected by the demerger and it continues to be business as usual.

Howard Marsh, Finance Director, UK and Northern Europe, Alliance Medical said

“We are delighted to be securing our supply of FDG, arguably the key component of successful PET/CT imaging and confirming our long-term commitment to the market.  This is a key step in our ambition of becoming the most relevant organisation for provision of PET/CT services in the UK.”
 

Ciaran Boylan, a director of M2i Holdings said

“This is a logical conclusion of a 10 year partnership with Alliance Medical in the UK that set out to support Alliance’s intentions to be the lead provider of PET imaging in the region.  Initially, this required the early establishment of a Production Unit in the north of England (Keele) and, over subsequent years, the completion of a well-positioned network of world class units that now presents as the lead manufacturer and distributor of PET Radiopharmaceutical in the UK”
 

Alliance Medical

The largest independent provider of diagnostic imaging services in Europe and has provided a range of diagnostic imaging services throughout the UK for almost 25 years.  They currently operate over 50 static imaging sites and over 30 mobile scanners across the UK ranging offering MRI, CT, PET/CT, X-ray, ultrasound and DEXA imaging services.  Alliance Medical prides itself on its history of establishing and delivering services in partnership with the NHS.  Since 2003, we have established in excess of 40 PET and PET/CT services within the UK, both mobile and fixed-site, and in 2005, proudly launched the UK’s first PET/CT Independent Sector / NHS managed service partnership with University Hospitals Birmingham NHS Foundation Trust.  In 2007 they established the North-West’s first PET/CT Independent Sector and NHS managed service partnership with the Lancashire Teaching Hospitals NHS Foundation Trust, and in 2008 commenced the provision of the Department of Health NHS PET/CT Diagnostic Imaging Service to the North of England; a service which continues until 2015.  Their current installations of 7 fixed-site and 4 mobile PET/CT scanners provide capacity over 20,000 patients per year in England (c25% of the total volumes in England).  Alliance Medical currently scan an average of 90 patients per day across all PET/CT services and across the current installed base of clinical and research PET/CT mobile and fixed-site scanners in the UK.

M2i Holdings

A PET radiopharmaceutical manufacturer having already established a successful production and distribution business in Ireland before entering into a UK Joint Venture with Alliance Medical will now focus its intention on similar offerings abroad from its Dublin base.  This will include provision of management services elsewhere in the world to larger medical centres/hospitals anxious to remove barriers (such as reliable supply of PET tracers) in delivering the cutting edge modality of PET/CT imaging for their patients.

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We combine service excellence and innovative imaging technologies to improve patient care and support public and private healthcare organisations with their imaging requirements. Our approach has delivered consistent company growth for more than 25 years.

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