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Eckert & Ziegler BEBIG S.A. Executes Framework Agreement With Leading Russian Radiation Therapy Provider


December 31, 2012 - London

Seneffe, Belgium, December 31, 2012 - Eckert & Ziegler BEBIG S.A. (Euronext: EZBG; Reuters: EZBG.BR; Bloomberg: EZBG:BB; hereafter "BEBIG") announces the signing of a framework agreement for the local production of brachytherapy devices with ZAO MSM-Medimpex (hereafter "MSM"), a leading Russian distributor of radiation therapy and nuclear medicine equipment. The contract covers the sale of production assets from BEBIG to MSM, a license for the use of BEBIG know-how, and support for the development of local afterloader modules. The agreement will enable MSM to manufacture a line of Russian brachytherapy devices for the precise treatment of cancer.

BEBIG in turn will benefit from production equipment and license revenues, and a long term delivery contract for specialized components. Part of the license revenues will already be booked in 2012, increasing BEBIG's projected 2012 EBIT to a level of about 4 mm EUR.

"The agreement will bring MSM and BEBIG closer together and thereby strengthen BEBIG's position in the Russian brachytherapy market", explains Dr. Edgar Löffler, Managing Director at Eckert & Ziegler BEBIG. "It allows BEBIG to participate more prominently in future Russian government cancer care investments, which are expected to increase significantly under the new State Oncology Program. Over the last years, BEBIG has already sold over 70 temporary brachytherapy systems. There is still an enormous potential for the use of such equipment in Russia. Together with MSM we are determined to exploit it. The revenues generated by this contract will reach well over 30 million EUR for both parties over the following three years."

"MSM is proud to announce this result of our long-term fruitful collaboration with Eckert & Ziegler BEBIG in the field of temporary brachytherapy," says Andrey Popov, Director General of MSM. "We have built a strong market presence with the BEBIG cancer therapy equipment over the last years due to the unique temporary brachytherapy devices with miniaturized Co-60 sources. Also, this contract allows us to participate on the Federal Target Program. The local production will give us a significant advantage over our competitors in upcoming government tenders." 
 
About MSM-Medimpex

MSM-Medimpex was established in 1994 as a medical device company, specializing in the distribution of radiation therapy and nuclear medicine equipment and software. Today, MSM is one of the leading oncology solution distributors in the Russian Federation and the Commonwealth of Independent States (among others, Belarus, Ukraine, Armenia, Azerbaijan, Kazakhstan, Turkmenistan, and Uzbekistan). With a team of highly qualified professionals, engineers and medical physicists on board, MSM-Medimpex provides clinics with turnkey projects including installation, training and full after-sales service support. Website: www.msm-medimpex.ru

About Eckert & Ziegler BEBIG

Eckert & Ziegler BEBIG(Euronext: EZBG; Reuters: EZBG.BR; Bloomberg: EZBG: BB) is a leading provider of cancer treatment devices based on radiation sources. Among others, it develops and manufactures permanent implants for the treatment of prostate cancer and temporary brachytherapy devices for a number of other tumors. The group employs about 150 people and has subsidiaries or offices in Germany, France, the UK, Spain, Italy, Brazil, and India. Its headquarters are located in Seneffe, Belgium. The company has been listed on the Euronext stock exchange since April 1997. For further information see www.bebig.eu. 

Contact:
Eckert & Ziegler
BEBIG S.A.
Investor Relations
Tel.: +32 64 520 808
Email: ir@bebig.eu




This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients.

The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.

Source: Eckert & Ziegler BEBIG via Thomson Reuters ONE

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