Target Information

Proclinic Group continues its growth in Europe with the acquisition of the Dutch dental distributor Dentalair. Founded in 1965 and headquartered in Dordrecht, Netherlands, Dentalair is a prominent supplier in the country, specializing in the distribution of dental consumables and technical equipment. The company also offers design and construction services for dental clinics. With more than 150 employees and a customer base of 3,000, Dentalair reported sales of €75 million in 2023. Proclinic anticipates reaching a total turnover of €400 million by 2024 as a result of this acquisition.

The integration of Dentalair into Proclinic will enable the group to enhance its market presence and distribution network in Europe. With a logistics hub located in Dordrecht, Proclinic can access the Benelux countries, Germany, and Nordic countries within 48 hours. This strategic acquisition will bolster the group's already established logistics capabilities, which include facilities in Zaragoza, Dijon (France), Kielce (Poland), and Verona (Italy).

Industry Overview in the Netherlands

The dental industry in the Netherlands is well-established and characterized by high standards of care and advanced technology. Dutch dental care is supported by a strong regulatory framework that ensures safety and quality, which adds to the industry's credibility. This environment presents opportunities for growth, particularly through innovation and improved service delivery.

Moreover, the demand for dental services continues to rise, driven by increasing awareness of oral health and advancements in dental technologies. The integration of digital tools into clinical practice is further expected to transform the industry, enabling efficiency and higher patient satisfaction. This trend aligns with the objectives of both Dentalair and Proclinic, as they aim to leverage technology to enhance service offerings.

Additionally, the competitive landscape indicates a consolidation trend, as smaller players seek to align with larger distributors to enhance efficiency and expand market reach. In this context, the acquisition of Dentalair reflects Proclinic’s strategy to strengthen its leadership position in the European dental market.

Rationale Behind the Deal

The acquisition of Dentalair serves as a strategic move for Proclinic Group in its quest to become a leader in the European dental sector. By integrating Dentalair’s established presence and expertise, Proclinic aims to penetrate key markets in the Netherlands, Benelux, Germany, and the Nordic countries. This synergy will not only expand their distribution network but will also create opportunities for cross-selling other services offered by Proclinic.

Furthermore, Proclinic's management emphasized that the acquisition underscores their commitment to growth and innovation in the dental market. Manuel Alfonso, CEO of Proclinic Group, articulated that this acquisition marks a significant milestone in the group's history, allowing them to explore synergies that will enhance their operational capabilities.

Information about the Investor

Proclinic Group is a leading comprehensive supplier of dental solutions in Europe, offering nearly 150,000 products across 32 countries. With a history spanning over 40 years, the group encompasses four business lines: distribution, production, training, and technical support. Proclinic has modern, automated logistic centers, including a 12,000 square meter facility in Zaragoza, complemented by warehouses across Europe, which enhances its operational efficiency.

Miura Partners, the private equity firm backing Proclinic Group, focuses on investing in small to medium-sized family-owned and entrepreneurial companies in Southern Europe. Established in 2008, Miura has successfully invested in over 80 companies, accumulating a total transaction value exceeding €4 billion. With €1.5 billion in assets under management, Miura Partners is dedicated to fostering sustainable growth and innovation.

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Examining the deal from an expert perspective, it appears to be a strong investment for Proclinic Group. The acquisition of Dentalair not only enhances Proclinic's market presence but also offers substantial synergies that can be leveraged for cross-selling and operational efficiencies. Furthermore, the strategic location of Dentalair's logistics hub aligns perfectly with Proclinic’s existing distribution network, promising quick access to key markets in Europe.

The dental industry in the Netherlands is poised for growth, and Dentalair’s established reputation will bolster Proclinic's credibility in the region. The combination of technological advancements in dental care and increasing demand for dental services presents an auspicious environment for growth. Proclinic’s capability to integrate Dentalair into its operations while maintaining a focus on innovation positions the group well to capitalize on these trends.

However, it is essential to consider potential challenges, such as regulatory approvals and integration processes. While these factors may pose risks, the extensive experience of Proclinic in managing similar transitions is reassuring. Overall, the deal is poised to not only strengthen Proclinic’s foothold in Europe but could also serve as a catalyst for broader growth initiatives.

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