TORONTO, Nov. 28, 2024 /CNW/ - Medical Facilities Corporation ("MFC" or the "Corporation") (TSX: DR), today announced certain governance changes following its previously announced sale of Black Hills Surgical Hospital, LLP ("Black Hills") to Sanford Health.  In order to compensate the individuals who made significant contributions to the successful sale of Black Hills, the Board of Directors of MFC (the "Board") determined to pay transaction bonuses to Jason Redman, CEO, and Michael Gisser, Chair of the Board, in addition to bonus allocations to other members of the management team.  As a result of the transaction bonus paid to Mr. Gisser, the Board determined that Mr. Gisser no longer satisfies the independence requirements set forth in National Instrument 52-110, and accordingly, Mr. Gisser stepped down as a member of the Audit Committee and as Chair of the Board so that a Chair may be appointed who is independent for purposes of National Instrument 52-110 in furtherance of corporate governance best practices. The Board has appointed Adina Storch as the new independent Chair of the Board.

"I am very proud to have led the Board over the past two years through a successful management transition and during the course of its change in strategic direction," said Mr. Gisser. "I look forward to continuing to serve on the Board and supporting the Corporation's execution of its business strategy."

Jason Redman, CEO, noted, "Michael was an extremely effective Chair of the Board. We thank him for his service over the past two years, and in particular, for his recent contributions to the Black Hills transaction.  I look forward to working with Adina as our new Chair and I am confident that her excellent leadership qualities, including financial acumen and executive decision-making, will be instrumental to MFC's ongoing success."

"I am honoured for the confidence that the Board has placed in me to lead it as its new Chair," said Ms. Storch. "I know that the Board and executive team, with Jason at the helm, will continue to execute on the Corporation's strategy and focus on further value creation for our shareholders."

About Medical Facilities

Medical Facilities, in partnership with physicians, owns a portfolio of highly rated, high-quality surgical facilities in the United States. MFC's ownership includes controlling interests in three specialty surgical hospitals located in Arkansas, Oklahoma, and South Dakota, and an ambulatory surgery center ("ASC") located in California. 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 ASC specializes in outpatient surgical procedures, with patient stays of less than 24 hours. 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 any future transactions. 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

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