Portfolio
Nature of Business
Labco is one of Europe’s leading groups of diagnostics laboratories, with more than €500m revenues and market leading positions in France, Belgium, Spain, Italy and Portugal. It also has significant operations in Germany. Labco’s strategy is to integrate independent diagnostics laboratories throughout Europe. The group now includes over 250 laboratories and has more than 4,000 employees. It treats over 15 million patients each year.
Founded in Paris in 2002, Labco has experienced huge growth following the 3i investment, having made more than 80 acquisitions since 2008.
Investment Overview
We invested €130m through several tranches since July 2008 and syndicated €15m. Our shareholding in the business is close to 20%, which makes 3i the largest and preference shareholder of Labco.
We have actively supported Labco’s management team in their buy-and-build strategy with 3i Partner Denis Ribon and 3i Executive Guillaume Basquin joining the Board. Through our Business Leaders network we have introduced Daniel Bour, former CEO of Générale de Santé as Non-executive Director, and Andreas Gaddum as a Non-executive Chairman.
We are also working closely with senior management through our Active Partnership approach, focusing on organisational improvements through the introduction of Regional Directors to the business. We have launched a procurement initiative and have closely supported the recent successful high yield issue (€500m).
Through our European healthcare network we have introduced Labco to relevant acquisition opportunities in France, Germany, Spain and Italy. In the UK we have worked with Labco on establishing a new joint venture with Sodexo, called Integrated Pathology Partnerships, which will bring Labco’s European experience to the UK market.