Specialist
Former C-level Executive at Synlab International GmbH and former C-level Executive at Eurofins Biomnis
Agenda
- Pan-European positioning – Synlab, Unilabs and Cerba
- Potential consolidation scenarios
- Significant technological disruption trends
Questions
1.
What organic growth opportunities remain for the major clinical diagnostics players in Europe? As a reminder, we will hold an Interview on Eurofins on 10 July, in which we can discuss Biomnis more specifically.
2.
Have you seen evidence of meaningful market share shifts between private providers?
3.
Do you think there's a clear winner in the retail strategies of Synlab, Unilabs and Cerba?
4.
Another area that has historically driven organic growth is outsourcing to private labs from the public sector. Is there still much incremental organic growth to be had from that?
5.
How about the mix of tests? You mentioned there's sometimes a lack of willingness among customers to pay more for tests, but is there much traction among movement towards higher-value tests?
6.
What remaining actions are available to create value through M&A?
7.
Are there any regulatory barriers to shifting tests across geographies? Is there any regulation that makes international expansion difficult?
8.
While you're probably most familiar with the French market, there seems to be quite a large differentiation in what players are willing to pay. Cerba has publicly noted its 7x EBITDA limit, whereas Biogroup has been going towards double-digits. What maximum do you think makes sense?
9.
What do you expect the lab testing environment to be like in 10 years, given recent trends?
10.
Which major buckets of tech disruption would be most significant to you as an investor? Can you group these?
11.
I assume the more existential threat to labs would be automation of tests, where you don't really need lab technicians present. Do you see any threat associated with point of care testing?
12.
Of Synlab, Cerba and Unilabs, which do you think has the best strategy for handling issues, given the environment that we've laid out?
13.
Do you have a view on the management teams running these businesses?
14.
From a credit point of view, leverage is a concern for these businesses. Do you foresee a route to deleverage for any major players over the next few years?
15.
You've made a compelling case for Cerba being a good option for people assessing this sector. Would you invest in the sector at the moment, given the high valuations and reimbursement uncertainty?
