Medical Facilities Corporation Announces Completion of the Acquisition of a 51% Interest in Arkansas Surgical Hospital L.L.C.
TORONTO, Nov. 30, 2012 /CNW/ - Medical Facilities Corporation ("Medical Facilities" or the "Corporation") (TSX: DR) announced today that it has completed the previously announced acquisition of a 51% interest in the Arkansas Surgical Hospital, L.L.C. ("ASH"). ASH operates the Arkansas Surgical Hospital, a physician-owned specialty hospital located in North Little Rock, Arkansas that provides advanced medical and surgical treatment for patients suffering from disorders of the spine and chronic pain. The Arkansas Surgical Hospital is a 51-bed specialty hospital with nine operating and two procedure rooms that generated over US$50 million in net patient revenue in 2011. The hospital, which has 14 physician owners, has received numerous awards from nationally recognized organizations, including www.CareChex.com, www.HealthGrades.com, www.hospitalcompare.hhs.gov, and www.beckershospitalreview.com.
The Corporation acquired its interest in ASH for a purchase price of approximately US$36.2 million, subject to customary adjustments. The current physician-owners of ASH retained a 49% interest. Five percent of the total interests in ASH will be exchangeable by the physician-owners for common shares of Medical Facilities.
About Medical Facilities
Medical Facilities owns controlling interests in four specialty surgical hospitals, located in South Dakota and Oklahoma, as well as an ambulatory surgery center in California. The specialty hospitals perform scheduled surgical, imaging, diagnostic and other procedures, including primary and urgent care, and derive their revenue from the fees charged for the use of their facilities. The ambulatory surgery center specializes in outpatient surgical procedures, with patient stays of less than 24 hours. Medical Facilities is structured so that a majority of its free cash flow from operations is distributed to the holders of its common shares in the form of a monthly dividend. For more information, please visit www.medicalfacilitiescorp.ca.
SOURCE: Medical Facilities CorporationFor further information:
Chief Financial Officer
Medical Facilities Corporation
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