TORONTO, June 5, 2015 /CNW/ - Medical Facilities
Corporation ("Medical Facilities" or the "Company") (TSX: DR),
announced today that Dakota Plains Surgical Center LLP ("DPSC"),
the Company's 65% owned subsidiary, has entered into an agreement
to sell its surgical hospital located in Aberdeen, South Dakota to Avera St. Luke's ("Avera"). Subject to customary
closing conditions, the transaction is expected to close at the end
of Q2 2015.
Medical Facilities remains focused on and committed to its
growth strategy, including active pursuit of accretive
acquisitions. The Company continues to review opportunities and
platforms which will facilitate Medical Facilities' continued
growth and expansion. The Company has taken this opportunity to
sell its 65% position in DPSC and with the expected proceeds from
the DPSC transaction and its other available financing resources,
the Company is well positioned to act on such opportunities.
About Medical Facilities
Medical Facilities owns controlling interests in five specialty
surgical hospitals located in Arkansas, Oklahoma and South
Dakota, as well as an ambulatory surgery center in
California. The specialty
hospitals perform scheduled surgical, imaging, diagnostic and other
procedures, including urgent and primary 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. 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