TORONTO, May 14, 2018 /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 ("NCIB") for up to 619,665 of its outstanding common shares ("Common Shares"), representing 2% of
the 30,983,257 Common Shares issued and outstanding as of May 2, 2018. The Company may purchase the Common Shares at
prevailing market prices during the period from May 16, 2018 to May 15, 2019 through the facilities of the
Toronto Stock Exchange and/or alternative Canadian trading systems. 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 40,358 Common Shares on any trading day, representing 25% of the average daily trading volume of
161,433 Common Shares for the past six months. All securities purchased by Medical Facilities under the normal course issuer bid
will be cancelled. The Company repurchased 95,600 Common Shares through the facilities of the TSX and alternative Canadian
trading systems at an average price of Cdn$14.71 per Common Share under its prior normal course
issuer bid for up to 620,918 Common Shares, which commenced on May 16, 2017 and expires on May 15, 2018.
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
Inc., 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 surgical facilities in the United
States. Medical Facilities' portfolio includes controlling interest in five specialty surgical hospitals located in
Arkansas, Indiana, Oklahoma,
and South Dakota, and an ambulatory surgery center located in California. In addition, through a partnership with NueHealth LLC, Medical Facilities owns controlling
interest in seven ambulatory surgery centers located in Arkansas, Michigan, Missouri, Nebraska, Ohio, Oregon, and Pennsylvania. 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. In addition, Medical Facilities owns controlling
interest in a diversified healthcare service company located in Oklahoma City that provides
third-party business solutions to healthcare entities such as physician practices, facilities, and insurance companies. 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
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