COUNSEL'S CHOICE DRUG SYSTEMS OPERATION COMPLETES ACQUISITION OF PREMIERPHARMACY, INC.TORONTO--(BUSINESS WIRE)--May 23, 1995--COUNSEL CORP. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : CXSNF TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). : CXS CXS Coherent X-Ray Scattering ) Allan Silber, Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Counsel Corporation (TSE-CXS/NASDAQ-CXSNF), today announced that Choice Drug Systems, Inc. (NASDAQ-DOSE) (common stock), DOSEW (warrants), has completed the acquisition of PremierPharmacy, Inc. for US$4,250,000 in cash. Choice Drug Systems, Inc. also announced the closing of a US$10 million credit facility with CreditAnstalt, which replaced its line of credit with United Jersey Bank ("UJB UJB Uncle John's Band UJB United Jersey Bank "). In addition, Choice Drug Systems, Inc. has completed a private placement of 1.6 million common stock units, each unit consisting of one share of common stock and two three year warrants to purchase, in the aggregate, nine/tenths share of common stock, for an aggregate purchase price of US$3.65 per unit. The sale of units raised US$5.84 million, approximately 40 percent of which came from the sale of units to Counsel Corporation. The sale of units to Counsel increased Counsel's ownership of common stock of Choice Drug Systems, Inc. from approximately 24.5 percent to approximately 27 percent, without giving effect to the exercise of any warrants. The proceeds from the private placement and a portion of the new credit line were used to fund the Premier acquisition and to repay corporate debt, including the indebtedness to UJB. Morris Perlis, Vice Chairman of Choice, commented, "We are very pleased we have completed this acquisition. We believe that it creates an even more dynamic company with a strengthened national network. The acquisition of PremierPharmacy is an important first step in establishing our company as a significant provider of pharmacy services to those institutions which comprise the ever evolving continuum of care marketplace." PremierPharmacy is a provider of pharmacy services to nursing homes and hospitals with annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. revenues of approximately US$30 million. The long-term care long-term care (LTC), n the provision of medical, social, and personal care services on a recurring or continuing basis to persons with chronic physical or mental disorders. pharmacy business of PremierPharmacy is based in the New York metropolitan area New York–Northern New Jersey–Long Island is the most populous metropolitan area in the United States and the third most populous in the world, after Tokyo and Mexico City. and its hospital pharmacy business operates in 8 states. Choice Drug Systems, Inc. is a leading provider of extended care institutional pharmacy services to nursing homes, correctional facilities and managed care organizations. Choice Drug services accounts throughout the United States. Counsel Corporation has been active in the U.S. health care sector since 1983. Its 41 percent-owned American HomePatient Inc. (NASDAQ-AHOM) is the fourth largest diversified home health care company in the U.S. Since going public in 1991, it has grown from 24 locations in 4 states to 188 in 26 states. The company's primary lines of business include respiratory therapy, infusion therapy and the sale and lease of medical equipment and supplies. Counsel Corporation is also active in real estate asset and property management in Canada. This business is carried on by its wholly-owned subsidiary Counsel Management Services Inc. (CMSI CMSI Citicorp Mortgage Services, Inc. CMSI Checkout/Control and Monitor Subsystem Interface (NASA) ). CMSI manages Counsel Real Estate Investment Trust (TSE-REI.Un) and assets for institutions and individual owners. CONTACT: Morris Perlis President 416/866-3193 or Ivan Shaffer Senior Vice-President Corporate Communications 416/866-3187 INDUSTRY KEYWORD: PHARMACEUTICAL REAL ESTATE REPEATS: New York 212-575-8822 or 800-221-2462; Boston 617-330-5311 or |
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