Company to Present at J.P. Morgan Healthcare Conference on January 11
ATLANTA--(BUSINESS WIRE)-- MedAssets, Inc. (NASDAQ: MDAS) today announced that it paid the $120.1 million deferred purchase consideration due on January 4, 2012 to the former owners of The Broadlane Group as part of the acquisition completed in November 2010.
“We continue to be very pleased with the client response and market reception, as well as the integration and performance of the transaction,” commented John Bardis, chairman, president and CEO, MedAssets.
MedAssets funded the deferred payment with cash, which included a $55.0 million draw on its $150.0 million revolving credit facility. The Company estimates that its total bank and bond debt as of January 5, 2012 is approximately $960.0 million, after giving effect to the draw on the revolving credit facility.
MedAssets expects that it will use available free cash flow primarily to prepay its bank debt in 2012. For the nine months ended September 30, 2011, the Company’s non-GAAP free cash flow a was $49.25 million. Full-year 2011 included approximately $22.0-$23.0 million of cash costs related to the integration of the Broadlane acquisition, which is not expected to recur in 2012. Non-GAAP free cash flow for the nine-month period is defined as cash provided by operating activities ($75.69 million) less capital expenditures, which includes purchases of property, equipment and software ($7.59 million) as well as capitalized software development costs ($18.85 million).
MedAssets to Participate in the J.P. Morgan Global Healthcare Conference
The Company also announced that its management team is expected to participate in the J.P. Morgan 30th Annual Healthcare Conference in San Francisco from January 9-11, 2012. MedAssets formal presentation is scheduled for 11:00 am ET (8:00 am PT) on Wednesday, January 11th.
A live audio webcast and replay of the presentation will be available in the “Events & Presentations” section of MedAssets’ investor relations website at http://ir.medassets.com.
MedAssets (NASDAQ: MDAS) partners with healthcare providers to improve financial strength by implementing spend and clinical resource management and revenue cycle management solutions that help control cost, improve margins and cash flow, increase regulatory compliance and optimize operational efficiency. MedAssets serves more than 180 health systems, 4,000 hospitals and 90,000 non-acute healthcare providers. The company currently manages $45 billion in supply spend and touches over $316 billion in total patient revenue annually through its revenue cycle solutions. For more information, go to www.medassets.com.
(a) Free cash flow is used by the Company to provide a more complete understanding of the operating cash flow characteristics of the business after capital expenditures to support and invest in the business. This measure assists management and the board of directors and may be useful to investors in comparing the Company's operating performance consistently over time as it removes the impact of its capital expenditures from the Company’s operational cash flow results. Free cash flow is not a measure of liquidity under GAAP.
Robert Borchert, 678-248-8194
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