HOUSTON, Jan. 9, 2017 /CNW/ -- Nobilis Health
Corp. (NYSE MKT: HLTH) ("Nobilis" or the
"Company") announced today that it has entered into a
definitive agreement to acquire Hamilton Vein Center, a provider of
clinical and surgical procedures for vascular disease. The
acquisition adds four locations in the Houston area, one location in San Antonio and one location in Austin. San
Antonio and Austin are new
markets for Nobilis.
Hamilton Vein Center has approximately 19,000 in-network patient
encounters per year. Upon closing, the Hamilton Vein Center
business will increase Nobilis' in-network patient volume mix to
over 50%. "This acquisition continues our strategy of adding
substantial in-network revenues to the Nobilis business
model. With significantly larger in-network targets in our
acquisition pipeline we are positioned to effect material change
throughout 2017," stated
Harry Fleming, Chief Executive
Officer.
In addition, Hamilton Vein Center founder, Carlos R. Hamilton III, M.D., will join Nobilis
as Medical Director of Interventional Radiology in the Houston market overseeing vascular operations
and development. Dr. Hamilton has built a premier,
multi-regional vascular brand based on his eminent reputation as a
clinician and innovator in these markets.
The company will acquire Hamilton for approximately $13.25 million, comprised of $8.25 million in cash and $5 million in the form of a convertible note. The
note is convertible to cash or stock at the Company's election, and
is payable in two equal installments over a two-year
period.
In addition to operational, sales, and marketing efficiencies,
Hamilton Vein Center affords Nobilis a network of clinical
locations in desirable areas of growth and a chassis on which the
company can continue to grow its direct–to-consumer vascular brand,
Clarity. Hamilton Vein Center also adds a network of referring
physicians with whom Nobilis can develop new relationships and
expand patient acquisition opportunities. These synergies will
generate additional surgical case volume and revenue for the
Nobilis system. The merged system will drive favorable
patient outcomes and enhance the overall patient experience.
"We are pleased to announce this agreement to acquire Hamilton
Vein Center. Dr. Hamilton and his team have developed one of the
largest vascular practices in Houston by delivering quality patient care
with exceptional outcomes, making Hamilton Vein Center a great
strategic and financial fit with our existing business," said
Kenneth Efird, President of Nobilis.
"Through this transaction we will expand our vascular brand,
Clarity, into two new markets in Texas, and continue the trend of expanding the
proportion of our business derived from in-network
cases."
"We are excited to join Nobilis Health and become an important
component of the growth of the Clarity brand," remarked Dr.
Hamilton. "We look forward to expanding our business into other
Nobilis markets and contributing to the further success of the
company's vascular business."
About Nobilis Health Corp.
Nobilis (www.NobilisHealth.com) is a full-service healthcare
development and management company, with 24 locations in seven
states, including 4 hospitals, 10 ASCs and 10 clinics. In addition,
Nobilis partners with another 38 facilities across the country.
Marketing seven independent brands, Nobilis deploys a unique
patient acquisition strategy driven by proprietary
direct-to-consumer marketing technology, focusing on a specified
set of procedures that are performed at our centers by local
physicians.
Forward Looking Statements
This press release contains certain forward-looking statements
within the meaning of Canadian and United
States securities laws, including the safe harbor for
forward-looking statements contained in the Private Securities
Litigation Reform Act of 1995. Forward-looking statements include
all statements that do not relate solely to historical or current
facts and may be identified by the use of words such as "may,"
"believe," "will," "expect," "project," "estimate," "anticipate,"
"plan" or "continue." These forward-looking statements are based on
current plans and expectations and are subject to a number of
risks, uncertainties and other factors which could significantly
affect current plans and expectations and our future financial
condition and results. These factors, which could cause actual
results, performance and achievements to differ materially from
those anticipated, include, but are not limited to our ability to
successfully maintain effective internal controls over financial
reporting; our ability to implement our business strategy, manage
the growth in our business, and integrate acquired businesses; the
risk of litigation and investigations, and liability claims for
damages and other expenses not covered by insurance; the risk that
payments from third-party payers, including government healthcare
programs, may decrease or not increase as costs increase; adverse
developments affecting the medical practices of our physician
limited partners; our ability to maintain favorable relations with
our physician limited partners; our ability to grow revenues by
increasing case and procedure volume while maintaining
profitability at the Nobilis Facilities; failure to timely or
accurately bill for services; our ability to compete for physician
partners, patients and strategic relationships; the risk of changes
in patient volume and patient mix; the risk that laws and
regulations that regulate payments for medical services made by
government healthcare programs could cause our revenues to
decrease; the risk that contracts are cancelled or not renewed or
that we are not able to enter into additional contracts under terms
that are acceptable to us; and the risk of potential decreases in
our reimbursement rates. The foregoing are significant factors we
think could cause our actual results to differ materially from
expected results. However, there could be additional factors
besides those listed herein that also could affect us in an adverse
manner.
We have not undertaken any obligation to publicly update or
revise any forward-looking statements. All of our forward-looking
statements speak only as of the date of the document in which they
are made or, if a date is specified, as of such date. Subject to a
mandatory requirements of applicable law, we disclaim any
obligation or undertaking to provide any updates or revisions to
any forward-looking statement to reflect any change in our
expectations or any changes in events, conditions, circumstances or
information on which the forward-looking statement is based. All
subsequent written and oral forward-looking statements attributable
to us or persons acting on our behalf are expressly qualified in
their entirety by the foregoing factors and in our Annual Report on
Form 10-K for the fiscal year ended December 31, 2015, filed
on March 15, 2016, as updated by other filings with
the Securities and Exchange Commission.
Contact Information:
Kolin Ozonian
Vice President, Corporate Development
kozonian@nobilishealth.com
713-355-8614
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/nobilis-to-acquire-texas-based-vascular-business-300387262.html
SOURCE Nobilis Health Corp.