TORONTO, Jan. 9, 2015 /CNW/ - Medical Facilities Corporation ("Medical Facilities" or the "Company") (TSX: DR), announced today that in connection with its previously announced normal course issuer bid ("NCIB") for up to $522,325 aggregate principal amount of its outstanding 5.90% convertible unsecured subordinated debentures due December 31, 2019 ("Debentures") (TSX: DR.DB.A), the Company has entered into an automatic securities purchase plan with its broker in order to facilitate repurchases of Debentures under the NCIB. The NCIB runs from December 30, 2014 to December 29, 2015. The automatic plan contains strict parameters regarding how Debentures may be repurchased during times when the Company would ordinarily not be permitted to purchase Debentures due to regulatory restrictions or self-imposed blackout periods, including the period from the eleventh business day following the end of a fiscal quarter until the disclosure of the applicable quarterly or annual financial results and prior to the disclosure of certain material changes. RBC Capital Markets has been appointed as the broker of record for the Company's NCIB.
About Medical Facilities
Medical Facilities owns controlling interests in five specialty surgical hospitals located in South Dakota, Arkansas 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 dividends. For more information, please visit www.medicalfacilitiescorp.ca.
Caution concerning forward-looking statements
Statements made in this news release, other than those concerning historical financial information, may be forward-looking and therefore subject to various risks and uncertainties. Some forward-looking statements may be identified by words like "may", "will", "anticipate", "estimate", "expect", "intend", or "continue" or the negative thereof or similar variations and include statements about the Company's normal course issuer bid and the repurchase of Debentures thereunder. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Factors that could cause results to vary include those identified in Medical Facilities' filings with Canadian securities regulatory authorities such as legislative or regulatory developments, intensifying competition, technological change and general economic conditions. All forward-looking statements presented herein should be considered in conjunction with such filings. Medical Facilities does not undertake to update any forward-looking statements; such statements speak only as of the date made.
SOURCE Medical Facilities Corporation
For further information: Michael Salter, Chief Financial Officer, Medical Facilities Corp., (416) 416-848-7380 or 1-877-402-7162; Renee Lam, Investor Relations, TMX Equicom, (416) 815-0700 or 1-800-385-5451 ext.258, Email: [email protected]