Coastal signs definitive agreement to sell its New Jersey clinic operations to the Valley Hospital.DURHAM Durham, town and district, England Durham, town (1991 pop. 38,105) and district, county seat of Durham, NE England, on the sides of a hill nearly encircled by the Wear River. The town's small factories produce organs and carpets. , N.C.--(BUSINESS WIRE)--Oct. 30, 1996--Coastal Physician Group, Inc. (NYSE NYSE See: New York Stock Exchange : DR) announced that it has executed a definitive agreement to sell certain assets of HealthNet, its New Jersey-based clinic operations, to the Valley Care Corporation, the parent of The Valley Hospital. Coastal will realize approximately $7.0 million in net cash proceeds on a pre-tax basis, which will be used primarily to reduce bank in debtedness. The proposed transaction is subject to board and other approvals, and is expected to close before the end of November. Specific terms of the proposed transaction were not disclosed. HealthNet employs 32 physicians at the group's nine primary care sites in New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of and New Jersey. The Valley Hospital, based in Ridgewood, New Jersey Ridgewood is a village in Bergen County, New Jersey, United States. As of the United States 2000 Census, the village population was 24,936. The Village of Ridgewood was created on November 20, 1894, with the same boundaries as Ridgewood Township. , is a 421-bed acute care facility serving the residents of northern New Jersey. "When combined with the sale of our Maryland Maryland (mâr`ələnd), one of the Middle Atlantic states of the United States. It is bounded by Delaware and the Atlantic Ocean (E), the District of Columbia (S), Virginia and West Virginia (S, W), and Pennsylvania (N). operations in September, this transaction will put Coastal more than 50 percent of the way toward meeting our $40 million debt obligation due in January 1997," said Henry J. Murphy, President and Chief Executive Officer of Coastal Physician Group. "In addition, the value we are receiving for these businesses clearly shows that our non-core assets are attractive to strategic buyers as we successfully execute our plan." Coastal Physician Group, Inc. is a diversified diversified (di·verˑ·s physician management company providing a broad range of health care and administrative services to physicians, hospitals, employers, managed care programs and other health care providers. CONTACT: Coastal Physician Group, Inc. Robert P. Borchert, 919/383-0355 |
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