To all, more from BW:
BW0100 FEB 05,1997 8:44 PACIFIC 11:44 EASTERN
( BW)(SYNCOR-INTL-CORP-2)(SCOR) Syncor announces entering new
business opportunity in open MRI; enters into joint venture with
National Diagnostic Services Inc.
Business Editors and Medical Writers
CHATSWORTH, Calif.--(BW HealthWire)--Feb. 5, 1997--Syncor
International Corp. (NASDAQ:SCOR) Wednesday announced it has
expanded its presence in the medical imaging business by forming a
new limited liability company with National Diagnostic Services Inc.
("NDS") to open and operate magnetic resonance imaging ("MRI")
centers.
The centers will be using a new MRI technology that features an
open, permanent magnet, known in the industry as "open MRI." Syncor
has committed $5 million to this new business opportunity.
Open MRI has several advantages over traditional MRI systems:
they are less expensive; they are completely open on all sides, thus
providing the patient a more comfortable, non-intimidating
environment while producing high-quality diagnostic images across a
wide range of applications; and they are easy to install because of
their small, compact, self-shielding design.
The new entity is 50% owned by Syncor and 50% by an NDS group
comprised of NDS and Steven E. Krieger, and will operate under the
name Syncor Diagnostics, LLC. Michael E. Mikity, Syncor's senior
vice president and chief financial officer, will serve as the chief
executive officer of the new venture. The goal of the new company
will be to establish ten open MRI centers by the end of 1997.
Several sites have already been identified.
NDS, a privately held company based in Thousand Oaks, Calif., is
a national leader in imaging center development. Since its founding
in 1981 by its current president and chief executive officer, James
F. Mitchell, NDS has developed more than 100 imaging projects for
hospitals, medical groups and other providers, and continues to
manage many of these facilities today. Krieger, NDS senior vice
president of development for the past ten years, will leave NDS to
become the president and chief operating officer of Syncor
Diagnostics, LLC.
"Syncor's entry into the medial imaging business is the
initial step to diversifying our base business," said Robert Funari,
Syncor's president and chief executive officer. "During 1997,
Syncor will continue to accelerate the process of identifying,
developing and implementing new business opportunities. These new
business ventures will allow us to acquire new skills and
competencies and will be an important source of growth in the years
ahead."
The statements made in this news release contain certain
forward-looking statements that involve a number of risks and
uncertainties. Actual events or results may differ from the
company's expectations.
Syncor International operates an expanding network of 121
domestic and nine international nuclear pharmacy service centers.
The company compounds and dispenses patient specific unit dose
radiopharmaceutical prescriptions, as well as distributing bulk
radiopharmaceutical products, for use in diagnostic imaging and
provides a complete range of advanced pharmacy services. Syncor
services more than 7,000 customers and is the only national pharmacy
network of its kind that provides a combination of diagnostic and
information services to hospitals and alternative markets.
--30--LES/la* TJM/la
CONTACT: Syncor International Corp., Chatsworth
Michael E. Mikity, 818/717-4610
Mary L. Meusborn, 818/717-4643
Investor Web site: WWW.STOCKPROFILES.COM/SCOR
News On Demand: 800/546-8172 |
