TORONTO, Ontario, June 4, 2018 – Medical Facilities Corporation (“Medical Facilities” or the “Corporation”) (TSX: DR) announced today that it has completed the sale of Integrated Medical Delivery, LLC (IMD) to N. Harris Computer Corporation (“N. Harris”). IMD was 51 percent owned by Medical Facilities and generated $5.0 million of revenue in 2017. N. Harris is a wholly-owned subsidiary of Constellation Software Inc. that provides software solutions to the public sector, schools, utility, and healthcare agencies.
“Divesting IMD allows us to focus our efforts on growing our core business of partnering with physicians to own and operate high quality healthcare facilities,” said Robert O. Horrar, President and CEO of Medical Facilities. “IMD will continue to be a key service provider to Oklahoma Spine Hospital and we expect to maintain a strong working relationship.”
“We are pleased to become part of the Harris family of companies and look forward to incorporating its broad expertise in the healthcare sector into innovative solutions for our clients,” added Debra Nussbaum Johnson, Chief Operating Officer of IMD.
“We are looking forward to offering Revenue Cycle Management services to existing Harris Healthcare customers and growing the IMD business”, Steve Hammond, SEVP Harris Healthcare.
About Medical Facilities
Medical Facilities, in partnership with physicians, owns surgical facilities in the United States. Medical Facilities’ portfolio includes controlling interest in five specialty surgical hospitals located in Arkansas, Indiana, Oklahoma, and South Dakota, and an ambulatory surgery center located in California. In addition, through a partnership with NueHealth LLC, Medical Facilities owns majority interest in seven ambulatory surgery centers located in Arkansas, Michigan, Missouri, Nebraska, Ohio, Oregon, and Pennsylvania. The specialty surgical 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 centers specialize 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.
About Integrated Medical Delivery
IMD provides outsourced business solutions to healthcare entities in a centralized off-site location. Based in Oklahoma, IMD is a diversified healthcare service company that looks to support healthcare entities in providing effective and efficient delivery of business office services through networks and centralized administrative support services.
About Harris
Harris is a software company focused on providing software solutions and services that empower people who serve their communities. We currently do this in utilities, local government, schools, public safety, and healthcare. We are a company focused on enabling our clients to deliver essential services, safety and care to the citizens they serve. For more information on Harris please visit our website at www.harriscomputer.com.
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. 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.
For further information, please contact:
Ellis Metz
Media Relations Counsel
Jarrard Phillips Cate & Hancock
(615) 254-0575
emetz@jarrardinc.com
Craig MacPhail
Investor Relations
NATIONAL Equicom
(416) 586-1938
cmacphail@national.ca