BaltCap enters the Latvian social and healthcare sector
BaltCap Private Equity Fund III (BPEF III), through its subsidiary Adoro, has signed an agreement to acquire the assets of Dzives Abece, a social care center in Latvia. With the investment, BaltCap aims to diversify the range of high-quality care services in Latvia for seniors and other client groups, such as post-treatment rehabilitation and dementia patients. Uldis Prieditis, a seasoned management professional, will serve as Adoro’s CEO.
Acquiring the assets of Dzives Abece is BaltCap’s first step in establishing a social and healthcare chain that provides high-quality care services across Latvia. Founded in 2018, Dzives Abece is a “family-type” service provider operating a 97-bed facility in Riga.
Juris Parups, Investment Director at BaltCap, explained that the aging population is driving the increased demand for elderly care services. “We see a significant gap in high-quality services for seniors in Latvia. Latvian municipalities, including Riga, have long waiting lists for social care. Our ambition is to build Adoro into a leading elderly care chain in Latvia and introduce new high-quality services in the social care sector,“ Parups explains.
Uldis Priedītis, CEO of Adoro, welcomes BaltCap’s initiative to invest in the social and healthcare sector and promote its development in Latvia. “According to our current plans, three new social care facilities with more than 500 beds will be established within the next five years.” Priedītis adds while revealing the growth plans that Adoro has in mind, ”In addition to elderly care services, these facilities will offer rehabilitation, physiotherapy, and other short-term healthcare services.”
BaltCap has notable experience in the care sector, considering BaltCap Growth Fund’s active investments in Estonia’s leading elderly care chain Pihlakodu and the Lithuanian-based private nursery hospital and rehabilitation center Gemma.