Pediatrix Acquires Neonatal Group Practice in San Francisco
Pediatrix Medical Group, Inc. (NYSE:PDX), the nation’s leading provider of neonatal, maternal-fetal and pediatric subspecialty physician services, today announced the acquisition of a neonatal physician group practice that serves three hospitals in the San Francisco area.
The seven neonatologists that form San Francisco Neonatology Medical Group care for premature and critically ill newborns at California Pacific Medical Center’s regional Level III neonatal intensive care unit (NICU). The group also staffs Level II NICUs at two hospitals in San Mateo County and provides well-baby care at the newborn nurseries at each of the three hospitals.
Annual patient volume exceeds 13,000 NICU patient days and more than 10,000 newborn nursery days.
“We are very impressed with Pediatrix’s research and education activities and welcome working with a national group that continually strives to make important clinical discoveries to improve babies’ lives,” said Steven L. Goldman, M.D., who will serve as Medical Director for Pediatrix Medical Group. “As a practice that invests much time and energy on improving neonatal care, we look forward to being part of a group whose quality improvement initiatives and vast neonatal database touches so many lives across the country.”
San Francisco Neonatology Medical Group participates in various efforts to improve outcomes for babies born prematurely, including initiatives to enhance quality and safety as well as research to prevent neonatal infection. The group also maintains a neonatal database and is exploring clinical data mining to advance patient care.
Pediatrix paid cash for the practice and the transaction is expected to be accretive to earnings.
Pediatrix Medical Group, Inc. is the nation’s leading provider of newborn, maternal-fetal and pediatric physician subspecialty services. Pediatrix physicians and advanced nurse practitioners are reshaping the delivery of maternal-fetal and newborn care by identifying best demonstrated processes and participating in clinical research to enhance patient outcomes and provide high-quality, cost-effective care. Founded in 1979, its neonatal physicians provide services at more than 240 NICUs, and through Obstetrix, its perinatal physicians provide services in many markets where Pediatrix’s neonatal physicians practice. Combined, Pediatrix and its affiliated professional corporations employ more than 900 physicians in 32 states and Puerto Rico. Pediatrix is also the nation’s largest provider of newborn hearing screens and newborn metabolic screening. Additional information is available at www.pediatrix.com.
Certain statements and information in this press release may be deemed to be “forward-looking statements” within the meaning of the Federal Private Securities Litigation Reform Act of 1995. Forward-looking statements may include, but are not limited to, statements relating to our objectives, plans and strategies, and all statements (other than statements of historical facts) that address activities, events or developments that we intend, expect, project, believe or anticipate will or may occur in the future are forward-looking statements. These statements are often characterized by terminology such as “believe”, “hope”, “may”, “anticipate”, “should”, “intend”, “plan”, “will”, “expect”, “estimate”, “project”, “positioned”, “strategy” and similar expressions, and are based on assumptions and assessments made by Pediatrix’s management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Any forward-looking statements in this press release are made as of the date hereof, and Pediatrix undertakes no duty to update or revise any such statements, whether as a result of new information, future events or otherwise. Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties. Important factors that could cause actual results, developments, and business decisions to differ materially from forward-looking statements are described in Pediatrix’s most recent Annual Report on Form 10-K, including the section entitled “Risk Factors”. Additional factors include, but are not limited to, uncertainties related to: the time needed to complete an Audit Committee’s inquiry into historic stock option grant practices; whether or not the Audit Committee’s inquiry will require the restatement of Pediatrix financial statements; the financial reporting impact of improperly dated stock options; the tax effects of improperly dated stock options; the potential discovery of accounting errors or other adverse facts; and possible litigation or regulatory action resulting from the SEC’s or U.S. Attorney’s investigations of Pediatrix stock option granting practices.