DGAP-News: Fresenius Medical Care AG & Co. KGaA / Key word(s):
Miscellaneous
Fresenius Medical Care AG & Co. KGaA Makes Strategic Investments in
Care Coordination
27.06.2014 / 09:25
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Company executes on the strategy disclosed earlier this year to invest in
care coordination around dialysis. The investment clearly advances the
commitment to address the full spectrum of care for chronically ill
patients.
Bad Homburg, Germany - Fresenius Medical Care AG & Co. KGaA (the "company"
or "Fresenius Medical Care"; Frankfurt Stock Exchange: FME / New York Stock
Exchange: FMS), the world's largest provider of dialysis products and
services, has entered into an agreement to invest approximately $600
million in Sound Inpatient Physicians, Inc. (www.soundphysicians.com) to
become majority shareholder as part of a recapitalization of Sound,
alongside existing investor TowerBrook Capital Partners and Sound's senior
leadership team. The transaction is subject to customary closing conditions
and is expected to close within the next ten days.
Sound Physicians has grown rapidly to more than 1,000 physician partners
providing care in over 100 hospitals and post-acute care centers across the
United States. It has pioneered a consistent, patient-centered approach
that relies on experienced physician leadership and a web-based workflow
platform. The focus on consistent processes and standards supporting highly
trained clinical experts positions Sound Physicians as the partner of
choice for efficient and effective performance throughout the acute and
post-acute episode of care.
"Fresenius Medical Care shares with Sound Physicians a long record of
improving health outcomes for patients and reducing costs to the health
care system," said Ron Kuerbitz, Chief Executive Officer of Fresenius
Medical Care North America. "This investment in Sound's inpatient expertise
is a significant step forward in our care coordination strategy and
augments our network of 2,150 dialysis clinics, 53 vascular care centers,
renal pharmacy and full service and specialty laboratories to help us
better address the full spectrum of our patients' health care needs. We
have a singular focus: improving the quality of life of every patient every
day. We believe the doctors and nurses at Sound Physicians share this
commitment and we are excited to partner with them to deliver better
results to patients."
"We are excited to have Fresenius Medical Care as our new strategic
partner," said Robert A. Bessler, MD, Sound's Chief Executive Officer.
"They bring decades of experience in managing chronic disease for dialysis
patients and have improved quality, patient satisfaction and reduced the
overall cost of care for this population. Their values and business goals
are closely aligned with Sound Physicians and our hospital partners. I look
forward to benefiting from their leadership in advancing innovation and
improvement in the acute episode of care in hospitals and post-acute arenas
throughout the U.S."
The Company expects Sound Physicians to generate approximately $500 million
in revenue in the next twelve months and expects the investment to be
accretive to operating earnings within the first year after closing,
subject to adjustment for transaction costs. It will fund the investment
through available cash and committed credit facilities, supplemented by
additional debt financing.
Fresenius Medical Care also disclosed that it has acquired MedSpring Urgent
Care Centers (www.medspring.com), with operations in Illinois and Texas.
MedSpring's 14 urgent care centers provide convenient, consistent,
high-quality primary care and customer service every day.
"MedSpring's commitment to providing primary care to patients where and
when they need it most is a critical component of a truly effective 21st
century health care network," said Kuerbitz. "We look forward to working
with them to help expand their existing footprint and continue to provide
patients with a more complete set of health care options."
"Every day, our associates succeed in delivering quality, cost-effective
care our patients love, and it shows in our satisfaction scores where we
receive 4.9 out of 5 stars," explained Jon Belsher, M.D., MedSpring's Chief
Medical Officer. "We are excited about the potential to continue to improve
patient care as part of the broader Fresenius Medical Care network."
About Fresenius Medical Care
Fresenius Medical Care is the world's largest integrated provider of
products and services for individuals undergoing dialysis because of
chronic kidney failure, a condition that affects more than 2.5 million
individuals worldwide. Through its network of 3,263 dialysis clinics in
North America, Europe, Latin America, Asia-Pacific and Africa, Fresenius
Medical Care provides dialysis treatments for 270,570 patients around the
globe. Fresenius Medical Care is also the world's leading provider of
dialysis products such as hemodialysis machines, dialyzers and related
disposable products.
For more information about Fresenius Medical Care, visit the company's
website at www.fmc-ag.com.
Disclaimer
This release contains forward-looking statements that are subject to
various risks and uncertainties. Actual results could differ materially
from those described in these forward-looking statements due to certain
factors, including changes in business, economic and competitive
conditions, regulatory reforms, foreign exchange rate fluctuations,
uncertainties in litigation or investigative proceedings, and the
availability of financing. These and other risks and uncertainties are
detailed in Fresenius Medical Care AG & Co. KGaA's reports filed with the
U.S. Securities and Exchange Commission. Fresenius Medical Care AG & Co.
KGaA does not undertake any responsibility to update the forward-looking
statements in this release.
End of Corporate News
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27.06.2014 Dissemination of a Corporate News, transmitted by DGAP - a
company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
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Language: English
Company: Fresenius Medical Care AG & Co. KGaA
Else-Kröner-StraÃe 1
61352 Bad Homburg
Germany
Phone: +49 (0) 6172- 609 2525
Fax: +49 (0) 6172- 609 2301
E-mail: ir@fmc-ag.com
Internet: www.fmc-ag.de
ISIN: DE0005785802, DE0005785836,
WKN: 578580, 578583
Indices: DAX
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,
München, Stuttgart; Terminbörse EUREX; NYSE
End of News DGAP News-Service
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275496 27.06.2014
DGAP-News: Fresenius Medical Care AG & Co. KGaA Makes Strategic Investments in Care Coordination
| Source: EQS Group AG