A Medical Device Daily
MedCath (Charlotte, North Carolina), a healthcare provider focused on high-acuity healthcare services, predominately the diagnosis and treatment of cardiovascular disease, reported the completion of the sale of its ownership in a joint venture in its MedCath Partners division.
MedCath had previously indicated during its fourth-quarter earnings call on Nov. 13, that its partner had provided notification of its intent to acquire MedCath's ownership in the joint venture, as allowed in the j-v's operating agreement following the venture's 10th anniversary. The sale was completed Dec. 31.
MedCath received $6.9 million in cash for its 51% ownership interest in the joint venture. For the 12-month period ended Sept. 30, the joint venture contributed $11.2 million in net revenue, $3.3 million in adjusted EBITDA and $1.6 million in minority interest expense to MedCath's consolidated earnings.
MedCath will continue to provide certain medical equipment to its former partner via a long-term lease, which will contribute $0.7 million in net revenue and adjusted EBITDA annually. MedCath said it intends to use the proceeds from the sale for general corporate purposes.
In other dealmaking activity:
• Pediatrix Medical Group (Fort Lauderdale, Florida) has changed its name to Mednax through the formation of a new holding company. Each share of Pediatrix is now a share of Mednax, which trades on the New York Stock Exchange under the ticker symbol MD.
Mednax's principal subsidiaries are Pediatrix Medical Group and American Anesthesiology (Park Ridge, Illinois).
Pediatrix encompasses the company's historic physician services in the neonatal, maternal-fetal, pediatric cardiology and pediatric intensive care subspecialties, as well as the company's newborn hearing screen program.
American Anesthesiology, which was formed in 2007, includes anesthesia practices in northern Virginia, Atlanta, and Raleigh, North Carolina.
The articles of incorporation, bylaws, executive officers and the board of directors of Mednax are the same as those in effect at Pediatrix prior to the reorganization. In addition, the rights, privileges and interests of Mednax's shareholders are the same as they were with Pediatrix.
Mednax is a medical group that includes neonatal, maternal-fetal and pediatric physician subspecialty services as well as anesthesia services.
• Aduromed Industries (Bethel, Connecticut) a provider of technology and services for the onsite treatment and disposal of regulated medical waste, reported that it has become MedClean Technologies, marking the official launch of the company's integrated business plan to play a leading role in the $2 billion market opportunity for onsite regulated medical waste (RMW) treatment at hospitals and other healthcare facilities.
The company will continue to trade under the ticker ADRM until further notice.
MedClean Technologies leverages the company's established technology with recent and future advancements and a new, customer-focused business model to deliver sophisticated, comprehensive and fully integrated on-demand solutions for the treatment and volume reduction of RMW and HIPAA-compliant destruction of confidential documents.
These solutions are delivered in industry-standard containers that require no installation within an institution's facility, reducing the required footprint within a facility.
The MedClean Container Series configuration, which is the subject of a patent filing, includes features that facilitate easy access to hospital utilities, in addition to options for on-board utilities in the event that electric and/or steam are not easily accessible. The MedClean Mobile Series adds transportability, allowing multi-site healthcare organizations to cost effectively leverage a system across several locations.
• RA Group Holdings, (RAGH; Brentwood, Tennessee) the parent company of Renal Advantage (RAI; also Brentwood), the third-largest for-profit provider of dialysis services in the U.S., reported that RAGH has completed its previously reported acquisition of National Renal Alliance (NRA; Franklin, Tennessee), effective Dec. 31. Terms of the transaction were not disclosed.
"We are pleased to announce the completion of our acquisition of National Renal Alliance," said Michael Klein, CEO of Renal Advantage. "We remain confident in our belief that the combination of our two companies' cultures, philosophies and standards of excellence will serve as a basis for our success in the future, and we look forward to working with National Renal Alliance's management and employees to accomplish a smooth and seamless transition for patients and physicians. In addition, with 136 dialysis centers in 18 states serving approximately 11,000 patients, we believe we are well positioned as a leader in the industry."
• Dialysis Corporation of America (DCA; Linthicum, Maryland) reported the acquisition of a dialysis center in located at the St. Thomas More Nursing and Rehabilitation Center (Hyattsville, Maryland) where it can treat patients from both within the St. Thomas More Center and the surrounding community.
This new center has 24 treatment stations and is currently caring for nearly 145 dialysis patients. The company is considering adding six more stations to the facility, which will accommodate up to an additional 36 patients.
President/CEO Stephen Everett said, "This newest center in Maryland is strategic to DCA as we begin 2009. It marks our fourth facility located on the campus of a skilled nursing facility, and our sixth in Maryland, which remains a focused market for DCA. Additionally, we are very fortunate to be inheriting a great group of caregivers in a community with several excellent nephrologists."