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Russia Sistema to invest $400 mln in health care

Russian diversified company Sistema (SSAq.L: Quote, Profile, Research) (AFKS.RTS: Quote, Profile, Research) said on Tuesday it planned to invest about $100 million a year until 2011 in expanding its healthcare services.

The company, which gets the bulk of revenues from Russia's largest mobile phone operator, Mobile TeleSystems (MBT.N: Quote, Profile, Research), said it would create a chain of 100 clinics in the next four years.

"The paid-for healthcare services sector is one of our key areas for growth," Sistema Chief Executive Officer Alexander Goncharuk said.

"The healthcare services market presents considerable growth opportunities and we intend to become a leading player in this fast developing market place," Goncharuk said in a statement.

Goncharuk told German newspaper Die Welt Sistema was considering cooperating with German partners in the area of medicine, but gave no other details.

Sistema's healthcare division currently comprises 14 clinics in Moscow and 12 in the regions that are being integrated into the Medsi Companies Group.

The services conglomerate also spans technology, real estate, banking, retail, tourism and media, but its core business is telecoms.


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