Matrix Concepts ventures into healthcare segment

17 Sep 2019 / 20:10 H.

PETALING JAYA: Matrix Concepts Holdings Bhd is expanding into the healthcare segment with its appointment as the exclusive service provider by Pusat Hemodialisis Mawar (PHM).

A management agreement was inked between Matrix Medicare Sdn Bhd (MMSB) and PHM for the operational management of the latter’s specialist hospital division, haemodialysis centre and clinics.

Under the terms of the Agreement, MMSB will exclusively manage the centers for a period of 30 years, providing services relating to non-clinical matters including financial, administration and management of resources.

Matrix told Bursa Malaysia that the management agreement is in line with its objective in diversifying its earnings base, with its portfolio already consisting of construction, education and hospitality business units.

Matrix is confident that medical industry, despite its challenges, offers good business potential as well as serving the needs of the nation for improved and affordable healthcare.

For the 30-year exclusive rights to manage the centers, MMSB will make an upfront payment totalling RM23.4 million to PHM by Oct 1, 2019, which is expected to be internally generated by the group.

Matrix will be entitled to management fees of 15% of gross operating revenue (GOR) on a monthly basis, provided that the monthly GOR exceeds RM4 million.

In the event the yearly GOR does not exceed RM48 million (and pro-rated accordingly if less than a year), PHM will be reimbursed any excess management fees paid.

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