TORONTO, Dec. 23, 2013 /CNW/ - Medical Facilities Corporation ("Medical
Facilities" or the "Company") (TSX: DR), announced today that the
Toronto Stock Exchange has approved its notice of intention to make a
normal course issuer bid for up to $1,045,000 aggregate principal
amount of its outstanding 5.90% convertible unsecured subordinated
debentures due December 31, 2019 ("Debentures"), representing 2.5% of
the $41,800,000 aggregate principal amount of Debentures issued and
outstanding as of December 20, 2013. The Company may purchase the
Debentures at prevailing market prices during the period from December
30, 2013 to December 29, 2014 through the facilities of the Toronto
Stock Exchange and other Canadian marketplaces. 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 $7,984.25
aggregate principal amount of Debentures on any trading day,
representing 25% of the average daily trading volume of $31,937
aggregate principal amount of Debentures for the past six months. All
securities purchased by Medical Facilities under the normal course
issuer bid will be cancelled. In the past 12 months, the Company has
not repurchased any Debentures.
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.
About Medical Facilities
Medical Facilities owns controlling interests in five specialty surgical
hospitals located in South Dakota, Arkansas and Oklahoma, as well as an
ambulatory surgery center in California. The specialty 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
center specializes in outpatient surgical procedures, with patient
stays of less than 24 hours. Medical Facilities is structured so that a
majority of its free cash flow from operations is distributed to the
holders of its common shares in the form of dividends. 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
Michael Salter
Chief Financial Officer
Medical Facilities Corp.
(416) 848-7380 or 1-877-402-7162
Renee Lam
Investor Relations
TMX Equicom
(416) 815-0700 or 1-800-385-5451 ext.258
Email: rlam@tmxequicom.com
Copyright CNW Group 2013