Press release

Fribourg, 29 March 2019

AEVIS VICTORIA SA on the path to becoming an investment company

Results of the holding up sharply to CHF 70.5 million (2017: CHF 5.0m) thanks to gains on investments, consolidated net loss of CHF 6.6 million due to exceptional factors.

In 2018, AEVIS VICTORIA SA recorded gains on investments of CHF 76.8 million, notably with the sale of its stake in BioTelemetry, Inc. and a first 20% stake of Infracore SA, bringing the holding company's net result to CHF 70.5 million. This result, up sharply, thus strengthens its consolidated shareholders' equity to CHF 445.0 million, or 24%. On a consolidated level, revenues decreased slightly to CHF 657.2 million (2017: CHF 663.1m). Net loss amounted to CHF 6.6 million, due to extraordinary items and ordinary taxes. Normalised revenues and EBITDAR (non-recurring items excluded) are stable. An ordinary distribution of CHF 1.10 per share will be proposed to the General Meeting. Once Infracore's deconsolidation process is completed, the company, whose balance sheet will be significantly strengthened, will propose the payment of an additional distribution to shareholders.

The real estate segment, including Infracore SA, Swiss Hospitality Properties SA and Générale-Beaulieu Immobilière SA, realised a result in line with the previous year. Net revenues amount to CHF 58.2 million (2017: CHF 58.4m) and EBITDAR to CHF 47.5 million (2017: CHF: 47.6m), representing a margin of 81.6%. Infracore SA, the hospital infrastructure subsidiary of AEVIS VICTORIA SA, which pursues its strategy towards independence, will emerge on the Swiss hospital infrastructure market, whose needs have been estimated at more than CHF 20 billion for the next decade. AEVIS VICTORIA will proceed with the private placement of an additional 40 to 60% of Infracore's capital in the coming months, and this company will be deconsolidated from the group. On 18 March 2019, Infracore SA published its first Annual Report in accordance with Swiss GAAP FER investment properties, showing a net result of CHF 47.1 million. This report can be downloaded via this link:
https://www.infracore.ch/_media/2019/03/ar_2018.pdf

Swiss Medical Network continued its expansion in Switzerland in 2018, with the acquisition of Privatklinik Siloah and two medical centres in Solothurn and Oerlikon. Early 2019, Swiss Medical Network acquired a 40% stake in Rosenklinik AG in Rapperswil (SG), with a call option on the remaining shares. Net revenues for 2018 amount to CHF 496.8 million (2017: CHF 506.1m) and EBITDAR to CHF 85.4 million, or 17.2%. Normalised net revenues (excluding TARMED corrective entries in 2017 and 2018) for Swiss Medical Network remained stable at CHF 501.4 million (2017: CHF 501.5m) and normalised EBITDAR decreased slightly to CHF 89.9 million (2017: CHF 91.0m). Factoring out Clinique de Valère, Clinique Générale-Beaulieu and Privatklinik Villa im Park, where major renovation works are in progress, the hospital group's net revenues increased by 4.3%. Activity accelerated sharply in the fourth quarter of 2018 and continued in the first quarter of 2019.

The Victoria-Jungfrau Collection hotels performed very well, in line with the Swiss tourism industry. Net revenues amounted to CHF 62.4 million (2017: CHF 64.4m) and EBITDAR increased to CHF 12.6 million, or 20.2% of the revenues. Factoring out Eden au Lac in Zurich, which has been closed for complete renovation since October 2017, and Palace Lucerne, for which the management contract expired on 30 September 2018, the hotel branch grew by 6.5% to CHF 61.6 million (2017: CHF 57.8m). The Eden au Lac in Zurich will reopen during the summer of 2019 after a major renovation under the direction of French designer Philippe Starck. Eventually, with around 40 rooms and suites and three restaurants, it should achieve revenues of more than CHF 20 million.

AEVIS VICTORIA initiated a transformation process into an investment company in 2018, which will be pursued with the deconsolidation of Infracore. This will fundamentally transform AEVIS VICTORIA's balance sheet structure and give the company increased investment capacities. The company will favour minority investments as a reference shareholder in companies active in its preferred sectors. AEVIS VICTORIA rather wishes to exert influence on its subsidiaries' strategies and leave them with the full responsibility for operational management. After Infracore in 2018, AEVIS VICTORIA is open to the entry of other strategic investors into its subsidiaries' capital, in particular through the combination with other market players. AEVIS VICTORIA wants to offer its shareholders a combination of capital gains generated by value creation in its subsidiaries and a stable annual return.

Detailed reporting
AEVIS VICTORIA SA's Annual Report 2018 can be downloaded via this link:
http://www.aevis.com/aevis/pdf/AEVIS_AR_2018.pdf

Webcast today at 10.00 CET
AEVIS VICTORIA SA will present its Annual Results 2018 during a webcast today at 10:00 CET. The results call will be headed by Antoine Hubert, Delegate of the Board. The conference will be held in English.

Link to live audio webcast: https://webcasts.eqs.com/aevis20190329/no-audio

Dial-in numbers for conference call function only:
Switzerland: ++41 44 580 6522
Germany: ++49 692 0174 4220
UK: ++44 203 009 2470
US: ++1 877 423 0830
Code PIN participants: 59470103#

For further information:
AEVIS VICTORIA SA Media and Investor Relations: c/o Dynamics Group, Zurich
Philippe R. Blangey, prb@dynamicsgroup.ch, +41 (0) 43 268 32 35 ou +41 (0) 79 785 46 32
Séverine Van der Schueren, svanderschueren@aevis.com, +41 (0) 79 635 04 10

AEVIS VICTORIA SA - Investing for a better life
AEVIS VICTORIA SA invests in healthcare, lifestyle and infrastructure. AEVIS VICTORIA′s main shareholdings are Swiss Medical Network SA, the second largest group of private hospitals in Switzerland, Victoria-Jungfrau Collection AG, a luxury hotel group managing four luxury hotels in Switzerland, Infracore SA (80%), a real estate company dedicated to healthcare-related infrastructure, a hospitality real estate division, Medgate (40%), the leading telemedicine provider in Switzerland, and NESCENS SA, a brand dedicated to better aging. AEVIS VICTORIA is listed on the Swiss Reporting Standard of the SIX Swiss Exchange (AEVS.SW).
www.aevis.com.