LAKE SUCCESS, N.Y. (June 30) BUSINESS WIRE -June 30, 1997--
HIGHLIGHTS:
-- Acquisition will establish international recruitment partnership
-- Acquisition will enhance company's travel nurse business
Staff Builders Inc. (NASDAQ: SBLI), one of the nation's largest home
health nursing providers, announced that its medical staffing
subsidiary, ATC Healthcare Services Inc., has entered into an agreement
to buy certain assets of Nursing Management (USA) Inc. (NMS USA), an
affiliate of British-based Premier Health Group, plc, a main market
list company.
NMS USA provides nursing professionals for long term assignments away
from the professional's domicile, often referred to as "traveling
nurses." The company assigns nursing professionals out of one location
to medical establishments across the United States. ATC is one of the
largest providers of temporary medical staffing in the nation. The
purchase price was undisclosed.
"This acquisition and a related agreement concerning future recruitment
of nursing professionals overseas for assignments in the United States
forms an important strategic move to address projected changes in the
U.S. market for nursing professionals," said Stephen Savitsky, chairman
and CEO of Staff Builders. "Along with a related management services
agreement with key NMS USA personnel, the acquisition positions ATC to
better meet market demands, and it is expected to increase annual ATC
travel nurse billings from the current level of $1.5 million to
approximately $8 million. ATC contributed $42.8 million to Staff
Builders' fiscal 1997 revenues, up approximately 39 percent from the
previous year. Since the acquisition of ATC four years ago, its
network has grown from an original 18 locations to 39 locations in 19
states."
"This acquisition is subject to the approval of Premier's shareholders
and bondholders and is projected to boost ATC revenues to over $60
million for the current fiscal year and should also add to ATC's
ongoing profitability," reported Carla Perrotta, senior vice president
and general manager of ATC Healthcare Services. "Our goal is to build
a nationwide network of staffing offices through acquisitions,
start-ups, and internal growth."
Staff Builders Inc. is a national provider of home health care services
with 240 locations in 37 states and the District of Columbia. The
company also provides home health care management services and
supplemental staffing personnel under contractual arrangements to
hospitals, nursing homes, clinics and other health care facilities. -0-
Except for historical information contained herein, the statements made
in this release constitute forward looking statements that involve
certain risks and uncertainties. Certain factors may cause actual
results to differ materially from those contained in the forward
looking statements, including those risks detailed in the Company's
annual report in Form 10-K for the period ended Feb. 28, 1997 filed
with the Securities and Exchange Commission on May 28, 1997.
--30--SL/ho*
CONTACT: Staff Builders
Stephen Savitsky or Gary Tighe, 516/358-1000
or
Investor Relations, 281/679-0400 Ext. 25 or 12 |
