Rutherford strikes deal to create new UK diagnositc facilities

Rutherford Health plc is delighted to announce that it has reached agreement to create a network of new diagnostic facilities in the UK. Rutherford has entered into a £55m development framework agreement with Equitix Limited a leading investor, developer and long-term fund manager of core infrastructure assets in the UK and Europe.

Under the terms of the agreement, Rutherford and Equitix will establish up to five new diagnostic facilities in the UK, to provide diagnostic services to the NHS and to private patients. Each centre will provide a variety of diagnostics services including Positron Emission Tomography–Computed Tomography, Magnetic Resonance Imaging, Computed Tomography, Ultrasound, Endoscopy, X-Ray and other relevant diagnostic services.

The framework agreement covers the development of the first five Rutherford diagnostics centres with an estimated value of approximately £55 million. Under the terms of the DFA, Equitix will have a right of first refusal in respect of the development and funding of a further five centres beyond the initial five.

Rutherford has already reached agreement with an NHS Trust in England to create the first facility and a further announcement will be released once an SPV has been created under the agreement with Equitix.

The diagnostic centres will be operated by Rutherford Infrastructures Limited and Rutherford Diagnostics Limited will provide diagnostic services.

Equitix is a leading investor, developer and long-term fund manager of core infrastructure and energy-efficiency assets in the UK. Equitix has over £6bn of assets under management. It has invested in healthcare assets since its inception in 2007 and healthcare is now its largest sector for investment, representing over 39% of its total portfolio. Further information can be found at https://equitix.co.uk/.

Mike Moran, Rutherford’s CEO, commented: “We are delighted to have signed this agreement with Equitix. The demand for diagnostic capability in the NHS, and private sector, has increased significantly over the last five years with demand outstripping supply year on year. The agreement with Equitix will enable Rutherford Diagnostics to meet the rising demand for diagnostic clinical services”.

Geoff Jackson, Chief Executive Officer of Equitix, commented: “We are very pleased to work in partnership with Rutherford to provide the financing for these diagnostic centres. We have demonstrated a strong track record in our ownership and management of healthcare assets, particularly in this time of crisis where we have been working to support NHS staff on the front-line and, as such, we are pleased to be further consolidating our capabilities and adding these assets to our institutional investment portfolios.”