TORONTO, April 4, 2022 /CNW/ - Medical Facilities
Corporation ("Medical Facilities" or the "Company") (TSX: DR),
announced today that the Toronto Stock Exchange has approved an
amendment to its notice of intention to make a normal course issuer
bid ("NCIB") effective as of April 7,
2022, which was originally announced on November 29, 2021 and began on December 1, 2021. The original NCIB
provided for the repurchase by the Company of up to 1,555,312 of
its outstanding common shares ("Common Shares"), representing 5% of
the 31,106,259 Common Shares issued and outstanding as of
November 15, 2021. Pursuant to the
amendment the Company may repurchase up to 3,101,774 Common Shares
representing 10% of its public float as of November 15, 2021. The Company has
repurchased 701,100 Common Shares since December 1, 2021.
The Company may purchase the Common Shares at prevailing market
prices during the period from December 1, 2021 to November
30, 2022 through the facilities of the Toronto Stock Exchange
and/or alternative Canadian trading systems in accordance with
applicable regulatory requirements. Purchases will be made at
market prices in accordance with the rules and policies of the
Toronto Stock Exchange. Subject to the Toronto Stock Exchange's
block purchase exceptions, daily purchases will be limited to
18,641 Common Shares on any trading day, representing 25% of the
average daily trading volume of 74,565 Common Shares for the six
months preceding the commencement of the NCIB. All securities
purchased by Medical Facilities under the normal course issuer bid
will be cancelled. The Company did not repurchase any of its Common
Shares under its prior normal course issuer bid for up to 621,144
Common Shares, which commenced on May 16, 2019 and
expired on May 15, 2020.
Medical Facilities believes that from time to time, the market
price of its publicly-traded securities may not reflect their
underlying value and that the purchase of its securities may
represent an appropriate and desirable use of Company funds.
Medical Facilities intends to fund the purchases out of available
cash.
In connection with the NCIB, the Company has entered into an
automatic securities purchase plan with National Bank Financial,
its broker of record for the NCIB, in order to facilitate
repurchases of Common Shares under the NCIB. The automatic plan
contains strict parameters regarding how Common Shares may be
repurchased during times when the Company would ordinarily not be
permitted to purchase Common Shares due to regulatory restrictions
or self-imposed blackout periods, including the period from the end
of a fiscal quarter until the disclosure of the applicable
quarterly or annual financial results and prior to the disclosure
of certain material changes.
About Medical Facilities
Medical Facilities, in
partnership with physicians, owns a diverse portfolio of highly
rated, high-quality surgical facilities in the United States. MFC's ownership includes a
controlling interest in four specialty surgical hospitals located
in Arkansas, Oklahoma, and South
Dakota, and an ambulatory surgery center located in
California. In addition, through a
partnership with NueHealth LLC, Medical Facilities owns a
controlling interest in five ambulatory surgery centers located in
Michigan, Missouri, Nebraska, Ohio and Pennsylvania. MFC also owns non-controlling
interests in a specialty surgical hospital in Indiana and an ASC in Missouri. The specialty surgical hospitals
perform scheduled surgical, imaging, diagnostic and other
procedures, including primary and urgent care, and derive their
revenue from the fees charged for the use of their facilities. The
ambulatory surgery centers specialize in outpatient surgical
procedures, with patient stays of less than 24 hours. For more
information, please visit www.medicalfacilitiescorp.ca.
Caution concerning forward-looking
statements
Statements made in this news release, other
than those concerning historical financial information, may be
forward-looking and therefore subject to various risks and
uncertainties. Some forward-looking statements may be
identified by words like "may", "will", "anticipate", "estimate",
"expect", "intend", or "continue" or the negative thereof or
similar variations and include statements about the Company's
normal course issuer bid. Certain material factors or assumptions
are applied in making forward-looking statements and actual results
may differ materially from those expressed or implied in such
statements. Factors that could cause results to vary include
those identified in Medical Facilities' filings with Canadian
securities regulatory authorities such as legislative or regulatory
developments, intensifying competition, technological change and
general economic conditions. All forward-looking statements
presented herein should be considered in conjunction with such
filings. Medical Facilities does not undertake to update any
forward-looking statements; such statements speak only as of the
date made.
SOURCE Medical Facilities Corporation