Vitrolife acquiring OCTAX and MTG, jointly holding a world-leading position in laser technology for IVF

Vitrolife AB (publ) has completed the acquisition of 100% of the shares in OCTAX
Microscience GmbH “OCTAX” and MTG Medical Technology Vertriebs-GmbH “MTG”.
Vitrolife thereby strengthens its market position and broadens the product
portfolio within a growth segment of IVF.
Profitable growth companies
OCTAX is the developer and producer of the world-leading OCTAX Laser and Imaging
Systems. MTG is the exclusive global distributor of OCTAX and acts as a
distributor in Germany, Austria and Switzerland for IVF products from other
manufacturers as well. Furthermore, MTG develops and markets a range of their
own IVF products globally, primarily within the cryo-preservation, QC and
andrology areas. The head office of the companies is located in Bruckberg,
Germany and the companies have in total approximately 30 employees. The
consolidated net sales for the companies in 2015 amounted to approximately EUR
8.5 million (6.9). The consolidated operating income before depreciation and
amortization (EBITDA) in 2015 amounted to approximately EUR 2.0 million (0.6).
The consolidated net sales for the companies during January to March 2016
amounted to approximately EUR 2.7 million (1.8).

State-of-the-art technology
The product line OCTAX Laser and Imaging Systems is the largest in terms of
revenue. It is a modular concept of hard- and software tools designed for
maximized efficiency and ease of use. The laser systems are compatible with the
leading microscope suppliers. They are used for IVF procedures such as embryo
biopsy for subsequent genetic testing, assisted hatching and intra-cytoplasmic
sperm injection (ICSI). With the support of OCTAX Laser Shot™ and OCTAX
NaviLase™, IVF clinics can through laser technology remove a few cells from the
embryo and use them for embryo selection procedures such as pre-implantation
genetic screening (PGS) and pre-implantation genetic diagnosis (PGD).

Broadens product portfolio and strengthens market position
There is a trend towards an increased involvement of technology, such as Time
-lapse and PGS, in IVF-treatments. The key drivers for increased use of
technology are improved treatment results, increased earnings potential and more
efficient processes at the clinics. The number of embryo biopsies is
continuously increasing worldwide as a consequence of the increased use of PGS
and PGD. Currently, the vast majority of the IVF clinics in the world use laser
equipment for some procedures and as the demand for biopsies increases,
Vitrolife expects that the clinics will invest in more laser equipment for
capacity reasons. “The acquisitions will improve Vitrolife´s product offer
towards customers, strengthen the company´s knowledge and generate a stronger
market position in order to drive future growth”, says Thomas Axelsson, CEO of
Vitrolife AB. “With its global market presence, strong brand and complementary
product range, Vitrolife is the right strategic partner for MTG and OCTAX”, says
Dr Klaus Rink and Richard Hampl-Portenlänger, majority owners and founders of
OCTAX and MTG.

New business unit within Vitrolife
The business conducted in OCTAX and MTG will form a new business unit within the
Vitrolife group. Dr Paul Gassner, currently CEO of MTG, has been appointed
Business Unit Director and will report to Vitrolife´s CEO Thomas Axelsson. The
business unit will be based in Bruckberg, Germany.

Accretive to earnings per share
The purchase sum for both companies amounted to EUR 13.7 million. The
considerations were paid in cash and were financed by available liquid funds.
The acquisitions are expected to be accretive to earnings per share from 2016
and onwards.

Presentation at Capital Markets Day
The acquisitions will be presented at the telephone conference on Friday July 15
at 10.00 a.m. in connection with the release of the January – June interim
report. The acquisitions will also be presented at the company’s Capital Markets
Day on September 20 in Göteborg.

Gothenburg, June 1, 2016
VITROLIFE AB (publ)
Thomas Axelsson, CEO
Queries should be addressed to:
Thomas Axelsson, CEO, tel 46 31 721 80 01
Mikael Engblom, CFO, tel 46 31 721 80 14

Vitrolife is required to publish the information in this press release in
accordance with the Swedish Securities Market Act and/or the Financial
Instruments Trading Act. The information was submitted for publication on June
1, 2016 at 08:30 a.m.

This is a translation of the Swedish version of the press release. When in
doubt, the Swedish wording prevails.
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Vitrolife is an international medical device Group. Vitrolife develops, produces
and markets medical devices for assisted reproduction. Work is also carried out
to enable the use and handling of stem cells for therapeutic purposes

 Vitrolife has approximately 330 employees and the company's products are sold
in almost 110 markets. The company is headquartered in Gothenburg, Sweden, and
there are also offices in USA, Australia, France, Italy, United Kingdom, China,
Japan, Hungary and Denmark. The Vitrolife share is listed on NASDAQ OMX
Stockholm, Mid Cap.

Vitrolife AB (publ), Box 9080, SE-400 92 Göteborg, Sweden. Corporate identity
number 556354-3452. Tel: 46 31 721 80 00. Fax: 46 31 721 80 99. E-mail:
info@vitrolife.com. Website: www.vitrolife.com/