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NU-MED INC. ANNOUNCES COMPLETION OF SUBSIDIARY'S SALE OF THREE HOSPITALS

NU-MED INC. ANNOUNCES COMPLETION OF SUBSIDIARY'S SALE OF THREE HOSPITALS
 ENCINO, Calif., June 1 /PRNewswire/ -- Nu-Med Inc. (NASDAQ: NUMS) today announced the completion of the sale by its wholly owned subsidiary, PsychGroup Inc., of three psychiatric hospitals aggregating 259 beds to PSG Acquisition Inc., a wholly owned subsidiary of The Cooper Companies Inc. (NYSE: COO). The purchase price consisted of $16.4 million in cash, assumption of approximately $21.5 million of debt and delivery by the buyer to Nu-Med of approximately $21.7 million in face value of Nu-Med subordinated debentures, which will be retired. A substantial amount of the proceeds of the sale was used to repay a bridge loan and secured obligations, with the balance to be used for working capital.
 The three hospitals are Hampton Hospital, 100 beds, located in Westhampton Township, N.J.; Hartgrove Hospital, 109 beds, located in Chicago; and Meadow Wood Center, 50 beds, located in New Castle, Del.
 PsychGroup Inc. entered into a management agreement with PSG Management Inc. to manage the following three facilities owned by PsychGroup Inc: Malvern Institute, 36 beds, Malvern, Pa.; Northwestern Institute of Psychiatry, 146 beds, Ft. Washington, Pa.; and Pinelands Hospital, 40 beds, Nacogdoches, Texas. The key personnel of PsychGroup Inc. will be employed by PSG Acquisition Inc. and, through the management agreement, will provide continuity of service to the remaining psychiatric hospitals owned by PsychGroup Inc.
 Nu-Med Inc. is a nationwide health care services company.
 -0 6/1/92
 /CONTACT: Kenneth E. Rappoport, vice chairman of Nu-Med, 818-990-2000; or Melvyn S. Rifkind of Melvyn S. Rifkind Inc., 818-783-8323, for Nu-Med/
 (NUMS COO) CO: Nu-Med Inc.; PsychGroup Inc.; PSG Acquisition Inc.;
 The Cooper Companies Inc. ST: California IN: HEA SU: TNM


KJ-JL -- LA012 -- 5517 06/01/92 09:01 EDT
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Publication:PR Newswire
Date:Jun 1, 1992
Words:294
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