Centric Health Corporation Completes Sale of Surgical and Medical Centres Division

Nov 26, 2019
10:32am

TORONTO, Nov. 26, 2019 /CNW/ - Centric Health Corporation ("Centric Health" or the "Company") (TSX: CHH) today announced that it has closed the previously announced sale of its Surgical and Medical Centres business to Clearpoint Health Network Inc. for gross proceeds of $35,000,000. The proceeds of the sale will be used to repay a portion of the Company's outstanding credit facilities and for working capital purposes. 

Centric Health (CNW Group/Centric Health Corporation)

"We are pleased to close this transaction, which was a key pillar of our strategic transformation," said David Murphy, President and Chief Executive Officer of Centric Health. "By further strengthening our balance sheet, we are now better positioned to pursue additional growth opportunities in the seniors pharmacy space. We want to thank all our employees and healthcare professionals for their commitment to the Surgical business over the past several years, and we wish Clearpoint all the best moving forward."  

ABOUT CENTRIC HEALTH

Centric Health's vision is to be the leading provider of pharmacy and other healthcare services to Canadian seniors. Centric Health is one of Canada's leading, and most trusted providers of comprehensive Specialty Pharmacy services and solutions to seniors. Centric Health operates a large national network of pharmacy fulfilment centres that deliver high-volume solutions for the cost-effective supply of chronic medication and other specialty clinical pharmacy services, serving more than 31,000 residents in over 460 seniors communities (long-term care, retirement homes, and assisted living facilities) nationally.

With services that address the growing demand within the Canadian healthcare system, Centric Health's unparalleled national care delivery platform provides significant potential for future expansion and growth.

FORWARD-LOOKING STATEMENTS

This press release contains statements that may constitute "forward-looking statements" within the meaning of applicable Canadian securities legislation.  These forward-looking statements include, among others, statements regarding the Company's business strategy, plans and other expectations, beliefs, goals, objectives, information and statements about possible future events. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "estimate", "anticipate" or similar expressions suggesting future outcomes or events. Such forward-looking statements reflect management's current beliefs and are based on information currently available to management.

Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those contemplated by such statements. Factors that could cause such differences include the Company's liquidity and capital requirements, government regulation and funding, the highly competitive nature of the Company's industry, reliance on contracts with key customers and other risk factors described from time to time in the reports and disclosure documents filed by the Company with Canadian securities regulatory agencies and commissions. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. As a result of the foregoing and other factors, no assurance can be given as to any such future results, levels of activity or achievements and neither the Company nor any other person assumes responsibility for the accuracy and completeness of these forward-looking statements. The factors underlying current expectations are dynamic and subject to change.

SOURCE Centric Health Corporation

For further information: Media Contacts: Centric Health Corporation, David Murphy, President and Chief Executive Officer, Centric Health Corporation, 416-927-8400; Andrew Mok, Chief Financial Officer, Centric Health Corporation, 416-927-8400