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Centric Health Corporation Announces Sale of Surgical and Medical Centres Division
Centric Health Corporation Announces Sale of Surgical and Medical Centres Division ...
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[{"type":"text","content":"\n\n\n\nCentric Health Corporation Announces Sale of Surgical and Medical Centres Division\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nTORONTO, Aug. 12, 2019\n\n\n\nTORONTO, Aug. 12, 2019 /CNW/ - Centric Health Corporation (\"Centric Health\" or the \"Company\") (TSX:CHH) today announced that it has entered into a definitive agreement to sell its Surgical and Medical Centres business to the Kensington Private Equity Fund and its manager, Kensington Capital Advisors Inc. (\"Kensington\") for a cash purchase price of $35 million. The transaction is expected to close on or about September 30, 2019, subject to satisfying customary closing conditions, including the receipt of applicable regulatory and other third party approvals. Centric Health expects to use the net proceeds from the sale to repay a portion of its outstanding credit facilities and for working capital purposes.  \n\"This transaction represents a meaningful step towards deleveraging our balance sheet and better positions us to execute on our vision to become the leading provider of pharmacy and other healthcare services to Canadian seniors,\" said David Murphy, President and Chief Executive Officer of Centric Health. \"During the past year, we have successfully re-engineered operations, accelerated growth and created momentum in our core business, and divested non-core assets in order to increase our financial flexibility to capitalize on organic and inorganic opportunities.\" \n\"Our plan is to work with the Surgical and Medical Centre team to deliver high quality patient care as well as build meaningful relationships and partnerships in the healthcare community,\" said Kirk Hamilton, Senior Vice President at Kensington. \"We believe this acquisition represents a great opportunity to work together with all stakeholders in Canadian healthcare.\"   \nCentric Health received financial advice from Origin Merchant Partners and Scotia Capital Inc. and legal advice from Stikeman Elliott LLP. Kensington received legal advice from Bennett Jones LLP‎.\nCentric Health ha...