Investment presentation Orpea
www.orpea-corp.com

Activity

The ORPEA group is a European leader in dependency care (nursing homes), post-acute and psychiatric care clinics, and has complementary activities in serviced residences, day care, home-based services and day-time and night-time hospital services. Founded by Dr Jean-Claude Marian in 1989, the company was floated in 2002. It operates 818 facilities in 12 countries, corresponding to 86,650 beds (including 13,379 beds in facilities under development) and employs almost 55,000 people. 39% of ORPEA’s network is in France, with the rest being in Europe (Germany, Spain, Austria, Belgium, Switzerland, Czech Republic, Italy, Poland and Portugal) and more recently outside Europe (Brazil and China). ORPEA’s business is supported by the long-term population ageing trend, which is producing growing demand for care facilities.

In 2017, ORPEA continued its international business expansion by moving into Brazil (2,185 beds under construction) and Portugal (1,141 beds under construction). The proportion of the group’s beds outside France has risen from 40% three years ago to 61% of the total network today, and 83% of ORPEA’s beds under construction and refurbishment are located outside France.

Revenue totalled €3,138 million in 2017, an increase of 10.5%, including organic growth of 5.4%. EBITDAR amounted €846 million, equal to 27.0% of revenue. The company’s real-estate assets were valued at €5.0 billion at 31/12/2017 (excluding assets held for sale). In 2018, the company is aiming to grow revenue by 8.3% to €3,400 million.

FFP’s investment

FFP invested in ORPEA in July 2011, buying some of its shares from the founder and others on the market. FFP increased its interest in ORPEA when the company carried out a €203 million capital increase in 2011.

At 31 December 2017, the FFP group (via its wholly owned FFP Invest subsidiary) owned 5.9% of ORPEA’s capital, representing a total investment of €115 million.

The value of the shareholding, for the purposes of Net Asset Value and the consolidated financial statements, is based on the share price at 31 December 2017.

FFP Invest, represented by Thierry Mabille de Poncheville, is a member of ORPEA’s Board of Directors.

Update at 2017 December 31st