ORLANDO, Fla., Sept. 5 /PRNewswire-FirstCall/ -- PainCare Holdings, Inc. (Amex: PRZ), one of the nation's leading providers of pain-focused medical and surgical solutions and services, today announced that it has successfully closed on the sales of both PSHS Alpha Partners, Ltd., which owns and operates an ambulatory surgery center (ASC) located in Lake Worth, Florida, and The Gables Surgical Center, located in Coral Gables, Florida. The completed sales have provided for the release of approximately $14.4 million in cash to PainCare that was being held in escrow.
On July 16, 2007, PainCare announced that it had entered a Definitive Agreement to sell the Lake Worth ASC to Surgery Partners Holdings, LLC for total consideration of $10 million in cash and an earn-out of up to $2.3 million in accordance with a predetermined cash collection schedule for the ASC. On August 6, 2007, the Company announced that it had entered a Definitive Agreement with Surgery Partners, LLC providing for Surgery Partners to purchase PainCare's controlling interest in PSHS Beta Partners, Ltd., d/b/a The Gables Surgical Center, for total consideration of $4.4 million.
Randy Lubinsky, Chief Executive Officer of PainCare, stated, "The completion of these sales brings to conclusion a critical element of PainCare's overall financial and operational restructuring plan. Consequently, the collective financial impact of divesting our ASC operations in both South Florida and Maryland has yielded enough cash to significantly reduce our prevailing debt obligations, and in the process, materially strengthen our financial base. We are very pleased that this arduous, but necessary, ASC divestiture process is now behind us."
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|SOURCE PainCare Holdings, Inc.|
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