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$EVHC CEO William Sanger will be Executive Chairman of the Board and $AMSG CEO Christopher Holden will be CEO of the combined company. $AMSG CFO Claire Gulmi will be combined company CFO; $EVHC CFO Randy Owen will be President of Ambulatory Services; and $AMSG Chief Development Officer Robert Coward will be President of Physician Services.
As part of $EVHC's organizational changes, Karey Witty, a veteran healthcare executive, has been appointed to the new role of EVP and COO, effective Oct 2, 2017. Kevin Eastridge, currently CAO, will succeed Claire Gulmi as CFO, effective same day.
Following the $EVHC-$KKR deal, AMGH and AMR will create a company, which is expected to transport more than 5MM patients through a fleet of air and ground ambulances across 46 states. Randel Owen, Envision’s President of Ambulatory Services, will assume the role of President and CEO of the new company, which will later adopt a new name.
$EVHC and $KKR have a definitive agreement under which the latter's portfolio company, Air Medical Group Holdings (AMGH), and $EVHC’s medical transportation subsidiary American Medical Response (AMR), will combine to form a medical transportation company. The cash acquisition of AMR from Envision is valued at $2.4Bil and would be closed in 4Q17.
Healthcare services provider $EVHC said its subsidiary Envision Physician Services has acquired Northside Emergency Associates, an emergency medicine physician group practice. The company did not disclose financial details of the transaction.
Healthcare firm $EVHC said the outstanding shares of its 5.25% series A-1 mandatory convertible preferred stock will automatically convert into common shares, effective July 3, 2017. Each share of the preferred stock, unless previously converted, will automatically convert into 1.8141 shares of the common stock.
$EVHC said its subsidiary Envision Physician Services acquired Anesthesia Associates of New London, P.C., a Connecticut-based anesthesia physician group practice. Envision Physician Services also expects to support growth of practice by recruiting additional physicians and certified registered nurse anesthetists to the group.
$EVHC commenced a process to increase outstanding borrowings under its existing Term Loan B credit facility by $500MM. These proceeds are expected to fund acquisition opportunities which are to be completed during 2Q17 and 3Q17. $EVHC also expects to repay any amounts outstanding under its current asset-based revolving credit facility at closing.
$EVHC said Envision Physician Services acquired Gwinnett Emergency Specialists, an emergency medicine physician group practice located in Lawrenceville, Georgia. After the acquisition of GES, Envision Physician Services staffs 8 hospital-based emergency medicine departments in North Georgia, including the Atlanta metropolitan area.
$EVHC slipped to a loss in 1Q17 from a profit last year, due to tax liability charge from the planned divestiture of its Medical Transportation segment. Net loss was $447.5MM or $3.84 per share compared to a profit of $28.6MM or $0.53 per share last year. Revenue jumped to $2.86Bil from $818.3MM. Adjusted EPS for the latest quarter was $0.77.
$EVHC, which formed on Dec. 1, 2016, with the merger of AMSURG Corp. and Envision Healthcare Holdings, Inc., reported a net loss of $137.8MM, or $1.84 per share in 4Q16, hurt by merger-related costs. Net revenue was $1.39Bil. Adjusted EPS was $1.15 for the quarter.
$EVHC BoD has declared a quarterly dividend of $1.31 per share in cash for the company’s 5.25% Mandatory Convertible Preferred Stock, Series A-1. The dividend is payable on April 1, 2017, to preferred stockholders of record as of March 15, 2017.
The Physician Services business of $EVHC has completed purchase of Emergency Professional Services (EPS). Since the merger of AMSURG Corp. and Envision Healthcare Holdings, $EVHC's Physician Services business has completed 5 physician group practice acquisitions, including 2 anesthesia groups, 1 radiology, 1 neonatal and 1 emergency medicine group.