Morphosis Capital Fund I Cooperatief UA, a growth capital fund, posts a combined turnover of EUR 100 million in 2023 for its portfolio companies, following a 49% increase compared to 2022. In 2023, the portfolio companies of the first Morphosis fund recorded a 52% increase in EBITDA level compared to the previous year. The Morphosis Capital Fund I portfolio currently includes the following entrepreneurial companies: DocProcess, Medima Health, EMI, Cronos Med, and Stay Fit Gym, with the fund completing its first full exit in 2023 by selling its minority stake in Dr. Leahu Dental Clinics.
“The portfolio companies of our first fund continued in 2023 the consolidation and expansion process in the markets in which they operate, surpassing the threshold of EUR 100 million in combined turnover, representing a significant milestone for Morphosis Capital. The growth recorded in 2023 was mainly organic because in the niches where companies such as Medima Health, Cronos Med, and Stay Fit Gym operate, the opportunities for acquiring local players are quite limited, and the markets are extremely fragmented. In this way, our portfolio companies can develop and quickly increase their market share, providing access to high-quality health services to an increasing number of people,” stated Andrei Gemeneanu, Managing Partner at Morphosis Capital.
The economic value generated and reinvested in the economy by the companies in the Morphosis Capital Fund I portfolio amounted to EUR 845 million in 2023. This indicator, calculated according to the Global Reporting Initiative (GRI) standards, includes salaries paid, investments in development, and contributions to the state, community, partners, suppliers, banks, and investors.
The six entities’ full-time employees increased from 952 to 1,139 in 2023, creating 187 new jobs last year. The companies continued the accelerated development process in 2023 with 19 organic expansions and three bolt-on acquisitions. Thus, Medima Health opened six new clinics, DocProcess continued to consolidate its presence in France, and EMI acquired a company in Romania. Cronos Med also inaugurated two new clinics, and Stay Fit Gym expanded its network with 13 fitness centers.
“2023 marked the entry into a new stage for our portfolio companies, which are approaching maturity, a fact highlighted by the exits made last year, the complete one from Dr. Leahu Dental Clinics and the partial one from EMI. Along with the other three Partners, we started Morphosis from scratch, a perspective that makes us relate to business primarily as entrepreneurs rather than investors, and this vision is also reflected in how we approach decisions regarding portfolio companies. Thus, our objective is for them to become national and international leaders in the industries in which they operate, and for this purpose, we remain open to opportunities to develop the companies, including by attracting new investors,” added Andrei Gemeneanu.
The first fund of Morphosis Capital focuses on the health and wellness sectors, with four of the six companies operating in these industries, namely Medima Health, a network of clinics specialized in imaging and radiology; Cronos Med, the market leader in aesthetic medicine; Stay Fit Gym, the fitness network with the largest national coverage; and Dr. Leahu Dental Clinics, the largest chain of dental clinics in terms of geographic distribution. DocProcess operates in the technology sector, and EMI offers integrated solutions and services for industrial access, with a presence in Romania, Belgium, and Slovakia.
In 2023, Morphosis Capital and its partner companies continued democratizing access to high-quality health services in 25 counties in Romania through accelerated expansion. This development supported the impact that portfolio companies had on local communities. It resulted in the care of over 106 thousand patients by 290 doctors and improved the physical well-being of over 20 thousand people. Additionally, regarding environmental impact, DocProcess contributed to saving 1,400 trees through the processing and electronic archiving of documents.
Morphosis Capital Fund I Cooperatief UA was launched in December 2018 with a subscribed capital of EUR 50 million and a plan to invest capital in Romanian entrepreneurial companies in sectors such as health and wellness, technology, industrial production, and B2B services.
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About Morphosis Capital
Morphosis Capital Cooperatief UA is a private equity fund established in 2018 by four Romanian entrepreneurs, Simona Gemeneanu, Gabriela Dumitru, Dragos Petre, and Andrei Gemeneanu. The fund aims to contribute to developing and transforming Romanian SMEs. The European Investment Fund (EIF), the leading financing platform for European SMEs, co-financed through the Regional Operational Programme, is the anchor investor in Morphosis Capital. Banca Transilvania, international and local entrepreneurs, and the founders themselves are the co-investors in the fund. Morphosis Capital invests in high-growth Romanian companies from sectors such as FMCG, niche healthcare, technology, and B2B services, which have a strong potential for international expansion and an EBITDA of a minimum of half a million euros. Morphosis Capital’s portfolio includes DocProcess, Medima Health, EMI, Cronos Med, and Stay Fit Gym. In 2023, Morphosis made its first exit by selling its minority stake in Dr Leahu Dental Clinics to Regina Maria.
