Monday, Tenet Healthcare Corp. (THC), a provider of health care services, revealed that its subsidiary has completed the earlier announced sale of 137- bed acute care hospital, Roxborough Memorial Hospital located in Philadelphia and a 153-bed acute care hospital, Warminster Hospital, Pennsylvania, to Solis Healthcare LLC.
The sales proceeds aggregates approximately $25.5 million, pre-tax. The payment is planned as $15.5 million cash, which will be used for general corporate purposes and the balance $10.0 million note due in December 2009.
The Dallas, Texas-based company said with the current announcement, the company completed the sale of 11 out of the 13 hospitals the company had earlier announced for sale.
The pre-tax proceeds for the completed sale of 11 hospitals are estimated to be approximately $278.0 million including an $8.0 million reimbursement linked to the renovation of a surgical facility on the Memorial Medical Center campus. The sale proceeds from the former Lindy Boggs Medical Center have not been revealed as per the confidentiality agreement with the buyer. Two more hospitals are up for sale - Encino-Tarzana Regional Medical Center - Encino campus, Los Angeles, California and Encino-Tarzana Regional Medical Center - Tarzana campus, Los Angeles, California.
THC closed Monday's regular trading at $6.56, up $0.05 or 0.77%, on a volume of 6.07 million shares on the NYSE. In after-hours trading, the stock further gained $0.04 or 0.61%, trading at $6.60.
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