Foundation HealthCare Announces The Acquisition Of A Majority Interest In Ninety Nine Healthcare Management, A Physician Practice Management Company
OKLAHOMA CITY, May 12, 2016 /PRNewswire/ -- Foundation HealthCare, Inc. (OTCQB: FDNH), which is an owner and operator of surgical hospitals and ambulatory surgery centers, today announced its acquisition of a majority interest in Ninety Nine Healthcare Management ("99MGMT"). 99MGMT is a healthcare management company founded by physicians to serve physicians and their patients. 99MGMT will continue to operate from their Dallas, Texas headquarters.
"A 99MGMT physician practice management relationship can yield on average a ten to fifteen percent increase in a physician's revenues net of fees," said Stanton Nelson, Chief Executive Officer for Foundation HealthCare. "99MGMT allows private practice physicians access to better resources without sacrificing decision making control and autonomy for their practice."
99MGMT provides a variety of critical practice management services relieving the hassles of running a practice, so physicians can focus on delivering exceptional patient care. Services offered by 99MGMT include practice operations, payer contracting, revenue cycle management, strategic marketing, electronic health record optimization, human resources, and ancillary service development, which complements the core medical practice.
"Our people, processes, and strategic planning lead to higher practice revenues by aligning the goals and incentives for patients, physicians, hospitals, employers, and payers. The result is higher quality of care at an overall cost savings," said Joel Ciarochi, M.D., M.B.A., CEO of 99MGMT.
"We are excited to establish this relationship with 99MGMT because we believe it will allow us to provide exceptional practice management services for our physician partners and increase the value we provide to them," said Nelson.
"While financial terms of the transaction have not been disclosed, we expect this acquisition will be accretive to the Company's earnings in the first 12 months following closing," said Hugh King, CFO for Foundation HealthCare.
About Foundation HealthCare – Headquartered in Oklahoma City, Okla., Foundation HealthCare owns and/or operates four surgical hospitals and ten surgery centers in seven states. Physicians who operate in our facilities currently provide general surgeries and surgeries in such specialties as orthopedics, neurosurgery, pain management, podiatry, gynecology, optometry, gastroenterology and otolaryngology (ENT).
Foundation HealthCare's management seeks to operate each facility efficiently and effectively such that patients receive high quality, cost effective care. The Foundation team seeks to improve the performance of each hospital by recruiting physicians to operate in its facilities and incorporating additional ancillary services in their markets. These additional service lines, such as toxicology, wound care, sleep management, radiology and imaging, truly make the Foundation specialty hospital environment unique.
The Company is also an industry leading ASC management and development company focused on partnering with physicians and employees to create an outstanding patient experience, while maximizing partner and shareholder value. For more information, visit www.fdnh.com.
Important Cautions Regarding Forward-Looking Statements This press release contains forward-looking statements that are based on the Company's current expectations, forecasts and assumptions. Forward-looking statements involve risks and uncertainties that could cause actual outcomes and results to differ materially from the Company's expectations, forecasts and assumptions. These risks and uncertainties include risks and uncertainties not in the control of the Company, including, without limitation, the risk that acquisition of 99MGMT will not be accretive to the Company's earnings in the first 12 months following closing, that the Company will maintain enough liquidity to execute its business plan, continue as a going concern and other risks including those enumerated and described in the Company's filings with the Securities and Exchange Commission, which filings are available on the SEC's website at www.sec.gov. Unless otherwise required by law, the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Primary contact: Brooks O'Neil, 952-239-7677 ([email protected])
SOURCE Foundation HealthCare, Inc.
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