MDMG.L Regulatory News (MDMG)

MD MEDICAL GROUP SIGNS A MEMORANDUM OF UNDERSTANDING WITH THE SAMARA REGIONAL GOVERNMENT

19 August 2014, Moscow, Russia - MD Medical Group Investments Plc ("MD Medical Group", "MDMG" or the "Company" - LSE: MDMG), Russia's leading provider of private women's and children's healthcare, announces that on 18 August 2014 the Company signed a Memorandum of Understanding ("MOU") with the Samara Regional Government to evaluate the potential to build a new multi-disciplinary hospital in the region.

This agreement represents MDMG's interest in developing further its presence in Samara, following the Company's successful acquisition of the region's leading healthcare network, IDK Medical Company, in April 2013.

In line with the terms of the MOU, MDMG will conduct a detailed project feasibility study. The Company will proceed with the project subject to the results of this initial analysis and if the Company believes that the project is in line with its conservative regional development strategy.

According to the terms of the MOU, MD Medical Group would finance the construction of the hospital, while the Samara Regional Government would be responsible for providing the land and utilities as well as supporting the project to through to a successful completion.

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About MD Medical Group

MD Medical Group operates in the highly attractive Russian private healthcare service market and has a leading position in high-quality women's health and paediatrics. The company manages 17 modern healthcare facilities, including 2 hospitals and 15 outpatient clinics in Moscow, St. Petersburg, Ufa, Perm, Samara and Samara region, Irkutsk and Yaroslavl. In addition, 3 franchised outpatient clinics operate in Kyiv, Ukraine.

The Company's main medical facilities are the Perinatal Medical Centre (PMC), a 250-bed medical centre, which opened its doors in 2006, and Lapino hospital, a 182-bed medical centre, which opened at the end of 2012. In 2013, there were 3,816 deliveries in PMC and Lapino. The number of outpatient treatments for 2013 in PMC and the Company's outpatient clinics totalled 627,247. In March 2013, the Company began construction of its third hospital in Ufa. In April 2013 MD Medical Group completed the acquisition of the IDK Medical Company ("IDK"), a network of women's and children's health clinics located in the Russian region of Samara. In May 2013, the Company acquired Mother&Child clinic in Irkutsk, which had previously operated through a franchise agreement with MD Medical Group. The same month the Company completed a large-scale modernisation project of its Mother & Child Health Clinic in Moscow. In December 2013, a new outpatient clinic was opened in Yaroslavl which became the first healthcare facility in the region to provide IVF services.

The Company's shares have been listed on the London Stock Exchange (LSE ticker "MDMG") in the form of Global Depositary Receipts (GDRs) since 12 October 2012.