Orion Healthcorp (AMEX:ONH)
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From Jun 2019 to Jun 2024
Orion HealthCorp, Inc. (AMEX: ONH) today announced that it had completed
its previously announced acquisition of all of the issued and
outstanding stock of two revenue cycle management companies located in
Los Angeles, California, and Mobile, Alabama. In addition, the Company
also announced the completion of its previously announced debt and
equity private placement with Phoenix Life Insurance Company and with
Brantley Partners IV, L.P., currently Orion’s
largest investor, resulting in gross proceeds to the Company of $8
million. These transactions had been contingent upon certain closing
conditions, the latest of which was satisfied when shareholders approved
all agenda items presented at the Company’s
special meeting on November 27, 2006. The Company also announced that it
had entered into an agreement with Wells Fargo Foothill, Inc. for the
provision of a new senior secured credit facility in the aggregate
principal amount of $16.5 million, consisting of a $2 million revolving
loan commitment, a $4.5 million term loan and a $10 million acquisition
facility commitment available, subject to certain conditions, for future
acquisitions.
Orion acquired all of the issued and outstanding capital stock of Rand
Medical Billing, Inc. Located in Simi Valley, California, Rand is a full
service billing agency providing medical billing, exclusively for
anatomic and clinical pathology practices. The Company also purchased
all the issued and outstanding capital stock of On Line Payroll
Services, Inc. and On Line Alternatives, Inc., collectively known as On
Line and located in Mobile, Alabama. On Line Payroll Services provides
payroll processing services to small businesses, a few of which are also
customers of On Line Alternatives, Inc. On Line Alternatives, Inc. is an
outsourcing company providing data entry, insurance filing, patient
statements, payment posting, collection follow-up and patient refund
processing to medical practices.
Terrence L. Bauer, chief executive officer of Orion HealthCorp, said, “These
acquisitions represent a major advance for Orion HealthCorp. Up until
now, we have been hard at work positioning ourselves to execute our
business plan. Initially, we restructured, consolidated and reduced
costs, all of which were necessary to begin the growth phase of our
company’s development cycle. With the approval
of our shareholders, we have now been able to raise the capital
necessary to complete two strategic acquisitions that will substantially
expand Orion’s footprint and client base in
the revenue cycle management industry.”
Mr. Bauer continued, “These are all truly
milestone events for Orion HealthCorp. The capital now available to us
through this financing will allow us to both implement current organic
growth initiatives and to continue to evaluate strategic acquisitions. I
would like to thank our shareholders for their support, our Board of
Directors for their guidance and our employees for their dedication and
commitment to our vision and mission. In addition, we are extremely
enthusiastic about completing the transactions with our new associates
in California and Alabama. We look forward to accelerating our
collective internal growth and continuing to provide outstanding service
to all of our clients.”
Orion’s mission is to provide superior
billing, collections, practice, business and financial management
services for physicians resulting in improved profitability for its
clients and increased enterprise value for its stakeholders. For more
information on Orion HealthCorp, Inc., visit the Company’s
website at www.orionhealthcorp.com.
Certain statements in this press release constitute “forward-looking
statements” within the meaning of the
Securities Act of 1933, as amended, and the Securities Exchange Act of
1934, as amended (the “Acts”).
Any statements contained herein that are not statements of historical
fact are deemed to be forward-looking statements, including all
statements regarding improving financial metrics and future growth.
The forward-looking statements in this press release are based on
current beliefs, estimates and assumptions concerning the operations,
future results, and prospects of Orion HealthCorp, Inc. and the other
companies described herein. As actual operations and results may
materially differ from those assumed in forward-looking statements,
there is no assurance that forward-looking statements will prove to be
accurate. Forward-looking statements are subject to the safe harbors
created in the Acts. Any number of factors could affect future
operations and results, including without limitation, changes in federal
or state healthcare laws and regulations and third party payer
requirements, changes in costs of supplies, the loss of major customers,
increases in labor and employee benefit costs, increases in interest
rates on the Company's indebtedness as well as general market
conditions, competition and pricing, and the Company's ability to
successfully implement its business strategies, including the impact and
expense of any potential acquisitions and the ability to integrate
acquired operations and to obtain necessary approvals and financing. Orion
HealthCorp, Inc. undertakes no obligation to update publicly any
forward-looking statements, whether as a result of new information or
future events.
Orion HealthCorp, Inc. (AMEX: ONH) today announced that it had
completed its previously announced acquisition of all of the issued
and outstanding stock of two revenue cycle management companies
located in Los Angeles, California, and Mobile, Alabama. In addition,
the Company also announced the completion of its previously announced
debt and equity private placement with Phoenix Life Insurance Company
and with Brantley Partners IV, L.P., currently Orion's largest
investor, resulting in gross proceeds to the Company of $8 million.
These transactions had been contingent upon certain closing
conditions, the latest of which was satisfied when shareholders
approved all agenda items presented at the Company's special meeting
on November 27, 2006. The Company also announced that it had entered
into an agreement with Wells Fargo Foothill, Inc. for the provision of
a new senior secured credit facility in the aggregate principal amount
of $16.5 million, consisting of a $2 million revolving loan
commitment, a $4.5 million term loan and a $10 million acquisition
facility commitment available, subject to certain conditions, for
future acquisitions.
Orion acquired all of the issued and outstanding capital stock of
Rand Medical Billing, Inc. Located in Simi Valley, California, Rand is
a full service billing agency providing medical billing, exclusively
for anatomic and clinical pathology practices. The Company also
purchased all the issued and outstanding capital stock of On Line
Payroll Services, Inc. and On Line Alternatives, Inc., collectively
known as On Line and located in Mobile, Alabama. On Line Payroll
Services provides payroll processing services to small businesses, a
few of which are also customers of On Line Alternatives, Inc. On Line
Alternatives, Inc. is an outsourcing company providing data entry,
insurance filing, patient statements, payment posting, collection
follow-up and patient refund processing to medical practices.
Terrence L. Bauer, chief executive officer of Orion HealthCorp,
said, "These acquisitions represent a major advance for Orion
HealthCorp. Up until now, we have been hard at work positioning
ourselves to execute our business plan. Initially, we restructured,
consolidated and reduced costs, all of which were necessary to begin
the growth phase of our company's development cycle. With the approval
of our shareholders, we have now been able to raise the capital
necessary to complete two strategic acquisitions that will
substantially expand Orion's footprint and client base in the revenue
cycle management industry."
Mr. Bauer continued, "These are all truly milestone events for
Orion HealthCorp. The capital now available to us through this
financing will allow us to both implement current organic growth
initiatives and to continue to evaluate strategic acquisitions. I
would like to thank our shareholders for their support, our Board of
Directors for their guidance and our employees for their dedication
and commitment to our vision and mission. In addition, we are
extremely enthusiastic about completing the transactions with our new
associates in California and Alabama. We look forward to accelerating
our collective internal growth and continuing to provide outstanding
service to all of our clients."
Orion's mission is to provide superior billing, collections,
practice, business and financial management services for physicians
resulting in improved profitability for its clients and increased
enterprise value for its stakeholders. For more information on Orion
HealthCorp, Inc., visit the Company's website at
www.orionhealthcorp.com.
Certain statements in this press release constitute
"forward-looking statements" within the meaning of the Securities Act
of 1933, as amended, and the Securities Exchange Act of 1934, as
amended (the "Acts"). Any statements contained herein that are not
statements of historical fact are deemed to be forward-looking
statements, including all statements regarding improving financial
metrics and future growth.
The forward-looking statements in this press release are based on
current beliefs, estimates and assumptions concerning the operations,
future results, and prospects of Orion HealthCorp, Inc. and the other
companies described herein. As actual operations and results may
materially differ from those assumed in forward-looking statements,
there is no assurance that forward-looking statements will prove to be
accurate. Forward-looking statements are subject to the safe harbors
created in the Acts. Any number of factors could affect future
operations and results, including without limitation, changes in
federal or state healthcare laws and regulations and third party payer
requirements, changes in costs of supplies, the loss of major
customers, increases in labor and employee benefit costs, increases in
interest rates on the Company's indebtedness as well as general market
conditions, competition and pricing, and the Company's ability to
successfully implement its business strategies, including the impact
and expense of any potential acquisitions and the ability to integrate
acquired operations and to obtain necessary approvals and financing.
Orion HealthCorp, Inc. undertakes no obligation to update publicly any
forward-looking statements, whether as a result of new information or
future events.