A group of medical entrepreneurs who sold their last company for £60m has snapped up a Bolton-based chain of clinics and plan a huge expansion of the business over the next five years.
Dr Newman’s Clinic, founded by a father and son in 1997, has been acquired in a £1.6m deal by a consortium which built Premier Medical Group, a provider of medical reporting and screening services based in Ludlow, Shropshire, before selling it to Capital Health last year.
The consortium, led by Dr Harry Brünjes, has taken an 80 per cent stake in Dr Newman’s Clinic. Five doctors who will run the new clinics have also become shareholders.
The chain – set up by Dr Brian Newman and his son Laurence – treats spider veins on the face and legs at clinics in Bolton, London and Glasgow. The technique used was pioneered by Dr Newman, who is 67.
Dr Newman’s Clinic has five staff and turns over £1.5m. Dr Brünjes’ consortium plans to open up to a dozen clinics over the next few years in locations such as Birmingham, Brighton, Cardiff, Exeter and Southampton and aim to take annual revenues to £20m.
Dr Newman will stay on as a consultant for a year. His son retains a stake in the business and becomes marketing director.
Dr Brünjes said today: “We immediately saw huge potential in Dr Newman’s Clinic and are excited about the possibilities for the business. We already have experience in growing brands and want to do the same here.
“Dr Newman’s Clinic is a recipe for success that is scalable. It has become phenomenally successful in the three cities in which it currently operates. As well as growing the network, we’ll be developing a range of branded products. The future is bright.”
Dr Newman said: “Our clinics are booked up solidly for the next six months and this deal will enable us to treat more patients and reduce waiting lists. Spider veins affect more than half the population. We have people travelling hundreds of miles to get to our three clinics.”
Advisers who worked on the deal included corporate finance specialist Dow Schofield Watts, based at Warrington.