NAPLES, Fla.--(BUSINESS WIRE)-- Health Management Associates, Inc. (NYSE: HMA) today announced that it has acquired a 60% controlling interest in three Shands HealthCare hospitals: Shands Lake Shore located in Lake City, Florida, Shands Live Oak, located in Live Oak, Florida and Shands Starke, located in Starke, Florida. Shands HealthCare (“Shands”) will retain a 40% ownership interest in each hospital. The transaction was effective as of July 1, 2010.
“We are very excited to welcome these three facilities into the Health Management family of hospitals,” said Gary D. Newsome, President and Chief Executive Officer of Health Management. “Health Management’s expertise is in the operation of non-urban community hospitals, where we can enable America’s best local health care. We believe these three hospitals offer us the opportunity to apply our proven operating initiatives in the emergency room, physician recruitment and market service development to improve efficiency, quality and access to care, and we are eager to leverage our new partnership with Shands to achieve even better outcomes for the residents of Bradford, Columbia and Suwannee counties.”
Combined, the three hospitals operate 139 beds and generate approximately $100 million of annual net revenue. Health Management’s purchase price for its 60% controlling interest was approximately $21.5 million.
Health Management enables America’s best local health care by providing the people, processes, capital and expertise necessary for its hospital and physician partners to fulfill their local missions of delivering superior health care services. Through its subsidiaries, Health Management operates 58 hospitals, with approximately 8,500 licensed beds, in non-urban communities located throughout the United States. All references to “Health Management,” “HMA” or the “Company” used in this release refer to Health Management Associates, Inc. and its affiliates.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are subject to risks, uncertainties and assumptions and are identified by words such as “expects,” “estimates,” “projects,” “anticipates,” “believes,” “could”, “prospects”, “promising” and other similar words. All statements addressing operating performance, events or developments that Health Management Associates, Inc. expects or anticipates will occur in the future, including but not limited to projections of revenue, income or loss, capital expenditures, earnings per share, debt structure, bad debt expense, capital structure, repayment of indebtedness, other financial items, statements regarding the plans and objectives of management for future operations, statements regarding acquisitions, divestitures and other proposed or contemplated transactions, statements of future economic performance, statements regarding the state of the economy, statements of the assumptions underlying or relating to any of the foregoing statements, and other statements which are other than statements of historical fact, are considered to be “forward-looking statements.”
Because they are forward-looking, such statements should be evaluated in light of important risk factors and uncertainties. These risk factors and uncertainties are more fully described in Health Management Associates, Inc.’s most recent Annual Report on Form 10-K and Quarterly Reports on Forms 10-Q under the heading entitled “Risk Factors.” Should one or more of these risks or uncertainties materialize, or should any of Health Management Associates, Inc.'s underlying assumptions prove incorrect, actual results could vary materially from those currently anticipated. In addition, undue reliance should not be placed on Health Management Associates, Inc.'s forward-looking statements. Except as required by law, Health Management Associates, Inc. disclaims any obligation to update or publicly announce any revisions to any of the forward-looking statements contained in this press release.
CONTACT:
Health Management Associates, Inc.
John C. Merriwether, Vice President of Financial Relations, 239-598-3131
KEYWORDS: United States North America Florida
INDUSTRY KEYWORDS: Practice Management Health Hospitals Other Health Nursing General Health
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