Polish Enterprise Fund backs company buying health sector debts

American private equity fund Polish Enterprise Fund IV will invest zł. 30 million in Łódź-based Magellan, a company which specializes in buying health sector debts. According to fund partner Dariusz Prończuk, the investment is an element of a strategy aimed at developing the national health system. The institution plans to take part in further share increases of Magellan until it will own roughly 60% equity in the company. The fund expects a 30% rate of return on the investment, which should end no earlier than in three to four years. However, Magellan would rather not be floated on the Warsaw bourse. According to Magellan president, Marek Błaszkowski, his company cooperates with over 500 hospitals and their 200 biggest suppliers throughout the country. "We offer services to those hospitals, which do not have a credit line," said Błaszkowski. (Parkiet, p. 4) M.M.