Jefferies Healthcare Conference · 11 Market consolidation is still ahead FRENCH MARKET 63% 77% 86% 94% 49% 44% 37% 23% 14% 6% 71% 51% 1990 1995 2000 2005 2010 2015 2020 Independents

London, November 21st, 2019

Jefferies Healthcare Conference

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TODAY’S PRESENTERS

Thierry ChicheCEO

David SylbergCFO

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I – ELSAN at a glance : Fast growing leader, with unique footprint

II – French Market overview : Sustainable, secular growth drivers

III – Our DNA : Innovative quality care for all patients

IV – Our Strategic vision : Leverage leadership positions to create more value

ELSAN AT A GLANCEI

Private hospital leader in France

25,000Employees

6,500Practitioners

2 Millionpatients p.a.

120Facilities across

all regions in France

€2.1bnrevenues

20%EBITDAR Margin

20% share of French private

acute care market

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ELSAN AT A GLANCEI

› Nationwide and unrivalled footprint with operations in all French regions

› #1 or #2 private player in 14 regions that accounts for more than 54% of French inhabitants

› Efficient organization built on regional “cluster”

› Integrated and robust corporate structure to pursue development

› International diversification initiated in Morocco

We are the only nationwide network

5

0.5bn

201820162014

0.7bn

1.2bn

2015 2017

1.6bn

2.1bn

Revenues in € Market shares (1)

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ELSAN AT A GLANCE

ELSAN has reshaped the French industry

Vitalia

Capio

Ramsay-GDS

Vedici

MédiPôle Partenaires

Vivalto

Other

Ramsay-GDS

Elsan Other

Vivalto

C2S

AlmaViva

20182014

Elsan 20%

Independent operators c. 45%

I

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Freedom of choice for the patient coupled with instrumental position of private sector

FRENCH MARKET

› Freedom of choice for patient is a key pillar of French healthcare system. Patients can go to public or private hospitals freely and get full social security coverage

› Private hospitals represent 43% of MSO volumes and 60% of surgery volumes in France, positioning the private sector as a key partner for national health authorities

› Private hospitals are a clear cost competitive alternative vs. public hospitals for national health authorities. Natural incentive to shift volumes to private hospitals

MSO volumes

Private

Operators

Public

Operators

Surgery

43%

57%

60%

40%

II

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Robust and predictable regulatory environment, reinforced by positive momentum on tariffs

FRENCH MARKET

› Public and private hospitals are funded by social security within ONDAM budget growing at 2.5%

› Annual tariffs evolution year-on-year in % is the same for public and private hospitals, preventing any decline targeting the private sector specifically and providing strong visibility

› Visibility further enhanced by positive momentum on tariffs, with increasing tariffs and introduction of multi-year approach

› Introduction of quality KPIs into tariff evolution, that will benefit best-in-class operators like Elsan

MSO Tariffs evolution 2015-2019

2015 20192016 2017 2018

-0.8%

-1.3%

-0.9%-0.5%

+0.5%

ONDAM evolution 2015-2019

2015 20192016 2017 2018

+2.1%+1.8%

+2.1%+2.3%

+2.5%

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Source : LFSS

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Highly regulated market

FRENCH MARKET

Authorizations to operate required for

every hospital

Complex operating processes subject to certification rules by

health authorities

Capital intensity linked to facilities and medical

equipment

Complex medical and operational skills

required to run MSO operations

High barriers

to entry

› A market with high barriers to entry securing long term visibility on investments

› An opportunity to pursue development through new authorizations granted

II

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Market consolidation is still ahead

FRENCH MARKET

63%

77%

86%

94%

49%44%

37%

23%

14%6%

71%

51%

1990 1995 2000 2005 2010 2015 2020

Independents

Groups

Share of independents amongst private hospitalsPrivate hospitals groups in France (revenues in B€)

Consolidation underway with still fragmented marketELSAN has unique track record

1) Scope: for-profit private clinics with MSO (Medicine, Surgery Obstetrics and Reproductive Health) activities

40%

60%

2,5 (1)2,3 (2)

0,8

0,40,2

4,5

(1) excluding psychiatry and including ex-Capio France(2) Including pending acquisitionsSource : last available company information

Rest of the

market

PE backed PE backed PE backed Independants

II

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OUR PURPOSE

INNOVATIVE QUALITY CARE

FOR ALL PATIENTS, EVERYWHERE

ELSAN DNAIII

ELSAN DNAIII

Our patients get the best doctors and technology wherever they are

A wide range of medical activities in each territory to address patient needs

A local operator

› A diversified portfolio of medical activities including MSO, rehabilitation, dialysis, home hospitalization, imaging and radiotherapy

› A local footprint :

• 3 French inhabitants out of 5 living less than 40 km from an ELSAN facility

• 95% of patients treated within a perimeter of 50 kilometers from home

A strong focus on medical quality

Quality

› 100% of ELSAN private hospitals certified with the highest quality standards of HAS (Haute Autorité de Santé)

› More than 600 practitioners invested in research and more than 400 scientific publications per year

› 11 ELSAN private hospitals ranked in the Top 50 best private hospitals in France

High-technological content

› +6,500 practitioners

› 880 operating theatres

› 40+ scanners / MRIs / PET scans

› 10+ surgical robots

› 10+ radiotherapy equipment's (linear accelerators and CyberKnife®)

High-tech equipment operated by highly skilled medical teams

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Quality as a differentiator

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ELSAN DNA

HAS Certification Campaign 2015-2019 outcomes

100%

Private

Sector

91% 80%

› 100% of ELSAN private hospitals certified with the highest quality standards of Haute Autorité de Santé(grade A or grade B)

Public

Sector

Gra

de

A o

r B

ce

rtifie

dIII

A shared and strong culture : patients always first

Responsibility

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ELSAN DNA

Operational excellence

Engagement

Team work

III

Corporate culture & Social responsibility in a meaningful industry

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OUR AMBITION

CHANGING THE

FACE OF LOCAL HEALTHCARE

1 - Deliver profitable revenues growth

2 - Best-in class on operational efficiency

3 - Digitalization & innovation

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Our strategic focus

OUR STRATEGIC VISION

We believe that operational and financial excellence are key to ensuring leadership

3 strategic priorities

IV

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Favourable macro trends

Active doctors recruitment

Value enhancing investments & medical projects

Ability to leverage on regional clusters to increase revenues

Quality of care recognized by prescribers and patients

Continuing growth of non-medical revenues

Focus on developing radiotherapy, imaging, and home hospitalization (HAD)

International development focused on emerging markets where ELSAN can bring expertise

More patient lifetime value : development of integrated pathways

Organic Growth Revenue diversification

+ +

OUR STRATEGIC VISION

Focused and disciplined approach to add-on acquisitions in a still highly fragmented market to strengthen our regional clusters

Bolt-on acquisition strategy

+

Active portfolio management with exit of non-core facilities

1 - Deliver profitable revenues growth

IV

Post-acute care Dialysis

Radiotherapy & Imaging

Home hospitalization

(HAD)

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+5% revenuesgrowth in 2019

+5% revenues growth in 2019

Stable revenues in 2019

+6% revenues growth in 2019

€ 0.4bn Diagnostics and Care revenues

Focus on revenues diversification : MSO core activity has numerous interactions with adjacent businesses delivering strong synergies at cluster lever

Specific focus area for M&A

M S O

OUR STRATEGIC VISION1 - Deliver profitable

revenues growthIV

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Best-in class in operational efficiency

OUR STRATEGIC VISION2 - Best-in class on

operational efficiency

Operational efficiency

› Lean organizations and real time adjustment of resources to the level of activity

› Proactive management of medical projects including footprint adjustments within a cluster

Transformation

› Mutualization and simplification of support functions

Procurement

› One central procurement negotiation platform

› A strategic know-how enabling year-on-year operational efficiency and access to new technologies at the right cost

+ +

IV

E-health to enhance productivity & quality of medical services

› Development of teleconsultation

› Artificial Intelligence to assist in diagnosis and DRG coding

› Training of medical staff using numerical simulations and serious games

Digital services to drive patient acquisition and loyalty

› New integrated websites with systematic call-to-action

› Launch of ADEL, first patient personal assistant in healthcare

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Data driven to improve performance

› Interoperationnal information systems across the company

› Moving to health data cloud

› Company data-lake with extensive use of business intelligence tools

Digitalization & innovation

OUR STRATEGIC VISION3 - Digitalization &

innovationIV

Documents

Jefferies Healthcare Conference · 11 Market consolidation is still ahead FRENCH MARKET 63% 77% 86% 94% 49% 44% 37% 23% 14% 6% 71% 51% 1990 1995 2000 2005 2010 2015 2020 Independents