Counsel expands its U.S health care operations; acquires 25% of choice drug systems for U.S. $7,300,000.TORONTO--(BUSINESS WIRE)--Dec. 19, 1994-- 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 See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). - CXS CXS Coherent X-Ray Scattering ), today announced the completion of the purchase, in a private placement, of 2 million shares of U.S.-based Choice Drug Systems, Inc. [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 - DOSE (common stock), DOSEW (warrants)! with warrants attached for an additional 1,800,000 shares exercisable over the next three years. Choice Drug provides drugs and related pharmaceutical services to 158 nursing homes and other health care facilities with 17,000 patient beds 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 , New Jersey, Maryland, Delaware and Missouri. It is also one of the largest providers of these services to penitentiaries and serves 72 correctional facilities throughout the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. with 78,000 inmates. The company also manages hospital pharmacies A hospital pharmacy is concerned with pharmacy service to all types of hospital and differs considerably from a community pharmacy. Some pharmacists in hospital pharmacies may have more complex clinical medication management issues whereas pharmacists in community . Choice Drug had revenues of U.S.$55 million for its fiscal year ended February 28, 1994. Allan Silber will be Co-Chairman of Choice Drug Systems Inc. along with Frank Mandlebaum, the current Chairman. Morris Perlis, President of Counsel and Chairman of American HomePatient Inc. will become CEO of Choice Drug. Choice Drug's Board of Directors will be enlarged from seven to eleven members with the four additional nominees designated by Counsel. Of the acquisition, Mr. Silber said, "This furthers Counsel's strategy of expanding in new health care niches in the U.S. that are growing rapidly because they are low cost providers. Our successful growth strategy in home health care with American HomePatient will be the pattern we will follow to expand Choice Drug." Counsel Corporation has been active in the U.S. health care sector since 1983. Its 70%-owned American HomePatient Inc. (NASDAQ - AHOM) is today 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 125 locations in 17 states. The company's primary lines of business include respiratory therapy respiratory therapy Medical profession concerned with assisting the respiratory function of individuals who have severe lung disorders. Practices include suctioning to clear secretions from the airway, use of aerosol mists (sometimes medicated) or gases to ease breathing, , infusion therapy and the sale or lease of medical equipment and supplies. Counsel's cost per share of Choice Drug Systems, Inc. was U.S. $3.65 rather than the U.S. $3.40 previously announced. The exercise price of the warrants was also higher and the term three years instead of five. The first million shares are exercisable at U.S. $4.50 per share. The remaining warrants are exercisable at U.S. $5.50. Choice Drug common stock closed on the Nasdaq on December 15, at U.S. $4.25 per share. Immediately prior to this transaction, Choice Drug had 6,096,810 shares outstanding. Counsel Corporation's business operations Business operations are those activities involved in the running of a business for the purpose of producing value for the stakeholders. Compare business processes. The outcome of business operations is the harvesting of value from assets are focused mainly in the health care sector in the United States. It is also active in real estate asset and property management in Canada. Counsel's asset and property management 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: Stephen Weintraub
Senior Vice President/Secretary
416/466-3058
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 80 |
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