Fidelidade, a subsidiary of Fosun International and Portugal's leading insurer, announced on Wednesday (10 April) that its subsidiary, Luz Saúde, a private healthcare service provider had communicated to the market its plan to seek admission for the trading of its shares on the Euronext Lisbon stock exchange, as part of a planned public sale offer. If realized, this operation will create better conditions for the continued expansion and growth of Luz Saúde in the health sector.

Luz Saúde plans to carry out a capital increase of approximately 100 million euros through the issuance of new shares aimed at institutional investors, both domestic and international. The capital increase will be used to support the long-term growth of Luz Saúde, thus maintaining a more robust capital structure.

Luz Saúde is recognized as a leading private health service provider in Portugal, noted for the quality and innovation of its approach.

After the public offering, Fidelidade intends to retain the majority of the share capital of Luz Saúde.

Luz Saúde has shown strong growth momentum, as well as a significant improvement in its profitability in recent years. In 2022 and 2023, it achieved double-digit revenue growth (10% and 12%, respectively). Benefitting from the sustained activity level growth of hospitals and clinics, effective cost control, and enhanced operational efficiency, it also experienced a significant expansion in EBITDA and EBIT margins.

The public sale of shares is expected to be carried out through private placement, both in Portugal and abroad (including in the United States), targeted at certain qualified institutional investors (QIBs). The admission of the shares to trading on the Euronext Lisbon will be subject to the approval of a prospectus by the Portuguese Securities Market Commission (CMVM). 

Rogério Campos Henriques, CEO of Fidelidade said: “This potential transaction is a key element in the strategy of the Fidelidade Group and Luz Saúde. It represents another step in Fidelidade's capital optimization plan, which will have even more robust solvency indicators, while allowing us to continue benefiting from diversification effects, through a majority stake in Luz Saúde.”

Fosun stated that Luz Saúde’s listing plan marks an important milestone for both Luz Saúde and Fidelidade in the health sector, which will benefit the development of Fosun's Health segment and enhance Luz Saúde's corporate governance, and provide Luz Saúde an independent fundraising platform. Fosun expressed its commitment to fulfilling its mission of offering high-quality and accessible healthcare to all Portuguese citizens through Luz Saúde and Fidelidade.

Luz Saúde operates 29 units, including hospitals, outpatient clinics, and a senior residence, reaching 75% of the Portuguese population. With a team of 4,876 doctors, 2,587 nurses, 1,308 technicians, and 1,126 beds, it leads the healthcare provision in Portugal.

In 2023, its 14 hospitals served over 1.1 million patients and generated 92.6% of the company's revenue. Furthermore, the 14 outpatient clinics served about 246,000 external patients and contributed 6.1% to the annual revenue. The network also includes a senior residence, responsible for 0.9% of the revenue.