MECHANICSBURG, Pa. -- Select Medical Corporation today announced the signing of a definitive agreement to acquire SemperCare, Inc., a privately held company based in Plano, Texas, for approximately $100 million in cash. The purchase price is subject to
adjustment based on SemperCare's net working capital on the closing date.
SemperCare operates 17 long-term acute care hospitals in 11 states.
SemperCare's revenues for calendar 2003 and the nine months ended
September 30, 2004 were approximately $83.0 million and $110.6 million,
respectively. The transaction, which is expected to close in the first
quarter of 2005, is subject to a number of closing conditions, including
receipt of regulatory approvals. Robert A. Lefton, SemperCare's co-founder,
president and CEO, and Gary A. Kagan, SemperCare's
co-founder and executive vice president of development, will remain with
SemperCare as employees after the transaction is completed.
Select Medical Corporation is a leading operator of specialty hospitals in
the United States. Select operates 82 long-term acute care hospitals in
25 states. Select operates four acute medical rehabilitation hospitals in New
Jersey. Select is also a leading operator of outpatient rehabilitation
clinics in the United States and Canada, with approximately 750 locations.
Select also provides medical rehabilitation services on a contract basis at
nursing homes, hospitals, assisted living and senior care centers, schools and
Source: Select Medical Corporation