(Bloomberg) -- Fresenius SE is planning to eliminate its Vamed unit by selling or winding down parts of the business and integrating other pieces into existing divisions, according to people familiar with the matter.

The German health-care company plans to either divest or wind down Vamed’s project business that manages the development, planning and construction of hospitals, said the people, asking not to be identified because the information is private. Vamed’s hospital services activities will likely be integrated into Fresenius’s Helios unit, they said.

A representative for Fresenius declined to comment. 

The plans for Vamed would be the latest step by Fresenius Chief Executive Officer Michael Sen to streamline operations after years of complaints from investors that the company was too complex. Sen has prioritized growth at the Kabi intravenous-drug division and at Helios, which owns and operates hospitals in Europe and Latin America.

Last week, Fresenius announced plans to sell a controlling stake in Vamed’s rehabilitation business to French private equity firm PAI Partners. The business includes 67 rehabilitation facilities in central Europe and the UK and has an enterprise value of €853 million ($919 million), Fresenius said. It had sales of about €1 billion and was profitable in 2023.

The overall Vamed division is home to a number of business areas, including hospital project development and services for nurses. It had about €2.4 billion in total sales last year.

In 2023, Fresenius separated its kidney-dialysis services division, Fresenius Medical Care AG, but kept a 32% holding.

The health-care company is due to report first-quarter results on Wednesday.

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